Bitcoin recovered on Monday after it lost over $10,000 over the weekend, as it participated in the general market sell-off amid recession concerns tied to tariff policies. Bitcoin was trading at $78,146.03, down around 1% from its Friday high of close to $85,000, but it rebounded from a low of $74,420.69.
David Hernandez, an investment expert in crypto at 21Shares, explained that Bitcoin usually joins market rallies but does not always go along with the same risk-off behavior, pointing to its increasing decoupling from core assets. Other coins such as Ether and Solana continued their declines, falling 13% and 10%, respectively.
The steep drop in Bitcoin prompted more than $438 million in long liquidations across 24 hours. The liquidation rush also helped join the bearish pressure, as traders needed to sell in order to offset losses.
Also Read : What Are Tariffs and How Trump’s Tariffs Affected Prices in the U.S.
Independent investor Will Clemente said that Bitcoin is not resistant to market volatility and is subject to larger market sell-offs, but he expects the correction to be ending soon. Bitcoin has been trading above $80,000 for most of 2025, but recent fluctuations have brought it to near the all-important $74,000 mark, with some predicting it might go even lower to $68,000.
Even with the short-term volatility, the long-run outlook for Bitcoin is good. Geopolitical risks and deglobalization will be favorable to Bitcoin as a decentralized and limited asset. In the opinion of Geoff Kendrick of Standard Chartered, Bitcoin could continue to be used increasingly as a hedge against growing tariff risk and economic disconnection.
Overall, while Bitcoin is challenged on a short-term basis, its potential as a store of value is robust in the face of global economic uncertainty.
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