The bitcoin price has soared since the reelection of U.S. president Donald Trump last year, rising on a wave of enthusiasm for bitcoin and crypto, but its rally has stalled in recent months despite U.S. Treasury secretary Scott Bessent quietly sending the market a “signal” last week.

The entire crypto market was rattled on October 10, when bitcoin and the broader market witnessed a drastic and sharp sell-off as President Trump announced sweeping 100% tariffs and export controls in response to China’s new restrictions on nearly all products starting November 1, 2025.

As seen in the first chart, Bitcoin reserves climbed from 2.38 million BTC to roughly 2.41 million BTC, coinciding with a sharp decline in price from $114,000 to near $107,000. The last time such a divergence appeared was in early 2024, right before a short-term correction.

Bitcoin price just crashed below $100,000, testing levels not seen in months. Earlier this week, Bitcoin broke below some key technical level.

Altcoins are bleeding worse. Ethereum (ETH) is down around 10% in a day, trading at $3,275.83. XRP slipped 7%, trading at $2.18. Both BNB and SOL have dropped 8%, trading at $923.58 and $154.45

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If October’s crash was about forced selling, the current drawdown may reflect something more sobering: conviction eroding. Long-time Bitcoin holders have offloaded around 400,000 Bitcoin over the past month, an exodus of about $45 billion that’s left the market unbalanced, according to Markus Thielen, head of 10x Research.

The price of bitcoin dropped below $100,000 late Tuesday, as the main crypto token suffered amid the market's overall risk-off mood. It's up a bit on Wednesday, but the drop meant that since hitting a record high around $125,