NEW YORK / LONDON (IT BOLTWISE) – Bitcoin hit a 6-month low this week, driven by a combination of economic uncertainty and artificial intelligence fears. Despite an 11% decline since Monday, the question remains whether the market has yet bottomed out. The uncertainty is compounded by US President Donald Trump’s announcement that he will cut tariffs to ease high food costs.
Today’s daily deals at Amazon! ˗ˋˏ$ˎˊ˗
Bitcoin hit a 6-month low last week, driven by a combination of economic uncertainty and artificial intelligence fears. The price fell 11% since Monday and reached $94,590 on Friday. This development has raised questions among professional traders as to whether the market has already bottomed out and what conditions need to be met for confidence to return.
Bitcoin derivatives continue to signal weakness despite several major technology stocks posting similar declines. The decline wiped out $900 million in BTC leveraged long positions, representing less than 2% of total open interest. Despite the size of this number, the abrupt price move has had little impact on the broader market. For comparison, the cascade liquidations on October 10, exacerbated by very thin liquidity, resulted in a 22% drop in open interest in BTC futures.
Concerns about inflation pressures rose again after US President Donald Trump announced his intention to cut tariffs to ease high food costs. Mohamed El-Erian, chief economist at Allianz, warned in an interview with Yahoo Finance that recession risks have increased as lower-income households struggle with the affordability crisis. El-Erian warned that the contagion could spread to the broader economy.
Part of the recent correction in the risk market was triggered by worries about artificial intelligence, which had previously been a major positive force for stocks. Legendary investor Michael Burry questioned whether extending depreciation periods for computer equipment artificially boosted profits. Amazon was the only major tech company to shorten its depreciation calendar recently.
Order an Amazon credit card without an annual fee with a credit limit of 2,000 euros!
Bestseller No. 1 ᵃ⤻ᶻ “KI Gadgets”
Bestseller No. 2 ᵃ⤻ᶻ “KI Gadgets”
Bestseller No. 3 ᵃ⤻ᶻ “KI Gadgets”
Bestseller No. 4 ᵃ⤻ᶻ “KI Gadgets”
Bestseller No. 5 ᵃ⤻ᶻ “KI Gadgets”
Please send any additions and information to the editorial team by email to de-info[at]it-boltwise.de. Since we cannot rule out AI hallucinations, which rarely occur with AI-generated news and content, we ask you to contact us via email and inform us in the event of false statements or misinformation. Please don’t forget to include the article headline in the email: “Bitcoin hits 6-month low: AI fears increase risk aversion”.