Why did bitcoin's price drop on Jan 25?

Bitcoin's price on Tuesday, Jan. 25, was nearly 50% below its November high. 1 Rumors of a forthcoming U.S. government strategy to regulate digital assets may have triggered the current sell-off. Gradual belt-tightening by the U.S. Federal Reserve may also be contributing to Bitcoin's price drop.

What happened to bitcoin?

Bitcoin fell 12% before 4:30 p.m. ET to just under $16,000, hitting a low not seen since November 2020, according to Coin Metrics. It reached its all-time high of $68,982.20 one year ago Thursday. Meanwhile, ether tumbled 14%, to $1,128.87.

What will happen to bitcoin's price in November 2022?

Following the collapse of FTX, an event that took place immediately after the first week of the month, it looks as though bitcoin’s price in November 2022 has a high probability of ending with negative percentages against the U.S. dollar.

What will drive Bitcoin prices in the next week?

Other market watchers said stocks, another relatively risky asset class, would likely drive bitcoin prices in the next week, particularly the performance of interest rate-sensitive tech stocks.