Bitcoin’s slide picked up speed Thursday, dropping below $66,000 for the first time in more than a year as investors rushed out of their holdings.

The world’s largest cryptocurrency fell more than 10% Thursday alone and is now down about 20% this week — a sharp reversal from last fall, when bitcoin was flirting with record highs and optimism around crypto was everywhere. The latest dip pushes bitcoin to its lowest level since late 2024 and extends a months-long downturn that’s erased nearly half its value since October.

The sell-off comes alongside broader market woes, with tech stocks sliding and investors increasingly seeking shelter in old-school safe havens like gold and government bonds.

Once bitcoin slipped below $70,000, a level many traders were watching closely, selling accelerated. Automated liquidations kicked in, dumping positions as prices fell and adding fuel to the drop. Billions of dollars in crypto bets have been wiped out in recent days, according to market data.

Other major cryptocurrencies have plunged even harder, and stocks tied to the crypto ecosystem, from exchanges to trading platforms, have slid alongside them.

Bitcoin is a digital currency that exists entirely online. It was created in 2009 as a decentralized alternative to government-issued money, designed to let people send payments directly to one another without relying on banks or financial intermediaries.

Instead of being printed or controlled by a central authority, bitcoin is created through a process called “mining,” in which powerful computers compete to verify transactions on a public ledger known as the blockchain. That ledger records every bitcoin transaction ever made and is maintained by a global network of computers.

While real-world adoption (paying for things with crypto) remains limited, bitcoin has been hyped up by some as a crisis-proof asset for years. This latest downturn is forcing a rethink.

With confidence in crypto shaken, some analysts warn bitcoin could slide further if the selling continues.