The crypto market has entered a renewed downturn as major tokens retreat. Bitcoin shed 16% over the past week, slipping around the $70,000 level, while Ethereum tumbled about 59% from its peak.
Analysts point to five driving forces behind the move: competition from new attractive markets such as prediction markets and AI stocks; an oversupply of crypto products as more Bitcoin ETFs and derivatives hit the market; reduced scarcity as investors gain easier access to related instruments; macro headwinds from a stronger dollar amid a potential Fed leadership change; and regulatory gridlock that has delayed a clear framework for crypto rules. Industry figures remain mixed in their outlook.
Michael Saylor and Anthony Scaramucci maintain long-term optimism, underscoring the need for multi-year investment horizons. Nouriel Roubini—often labeled Dr. Doom—describes crypto as “Shitcoin” and criticizes the lack of intrinsic cash flow and centralization.
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