Is Bitcoin Hitting Its Lowest Point Since Trump Took Office?

Bitcoin's price has plummeted to its lowest level in 15 months, currently valued at $66,000 (£48,700) despite significant support from former US President Donald Trump. This drastic decline of 24% since the beginning of 2026 comes after the cryptocurrency reached an all-time high of $122,200 in October 2024. Investors are now grappling with a bearish market sentiment that has overshadowed Trump's previously bullish stance on cryptocurrency.

Last updated: 27 October 2023 (BST)

What’s happening now

The current situation surrounding Bitcoin is marked by a significant downturn, with prices hitting lows not seen since October 2024. Despite Trump's vocal support for cryptocurrencies and initiatives aimed at bolstering the sector, the reality of the market reflects a decline in investor confidence. As of now, Bitcoin’s value has decreased 32% over the past year, indicating a troubling trend that has raised alarm among investors and analysts alike.

Key takeaways

Bitcoin has fallen to $66,000 (£48,700), the lowest since October 2024.
The cryptocurrency market has lost over $1 trillion in value recently.
Trump's pro-crypto agenda has not prevented the decline in Bitcoin's price.

Timeline: how we got here

The trajectory of Bitcoin and the cryptocurrency market has been tumultuous, particularly in light of recent events:

October 2024: Bitcoin reaches an all-time high of $122,200.
January 2025: Trump returns to the White House and enacts pro-crypto measures.
October 2025: Bitcoin begins a steady decline, dropping to $66,000 (£48,700) by late October 2026.

What’s new vs what’s known

New today/this week

Recent reports indicate a growing pessimism among traditional investors regarding Bitcoin and cryptocurrencies in general. Analysts at Deutsche Bank have pointed out that the nomination of Kevin Warsh as the new Federal Reserve chair may have contributed to this negative sentiment, marking a shift in market dynamics.

What was already established

Trump's administration has been marked by significant support for the cryptocurrency sector, including the creation of a personal cryptocurrency brand and legislative actions to bolster federal backing for cryptocurrencies. Nonetheless, the market has seen substantial fluctuations, underscoring the inherent volatility of digital assets.

Impact for the UK

Consumers and households

For UK consumers, the decline in Bitcoin prices may influence investment decisions and financial planning. Individuals who have invested in cryptocurrencies may experience reduced asset values, impacting their overall financial health. Additionally, the broader economic implications of a falling cryptocurrency market could affect consumer confidence and spending patterns.

Businesses and jobs

The downturn in cryptocurrency prices could have wider ramifications for businesses engaged in the sector. Companies involved in crypto trading, blockchain technology, or related services may face challenges in securing investment and maintaining profitability. Job security within these firms could also be at risk if the market continues to decline.

Policy and regulation

As the UK government observes the trends in cryptocurrency markets, it may consider regulatory responses to protect investors and ensure market stability. With ongoing discussions regarding cryptocurrency regulation, the impact of the declining market may influence future policy decisions and legislative actions.

Numbers that matter

Bitcoin price has decreased 24% since the start of 2026.
The cryptocurrency market lost over $1 trillion in value over the past month.
Bitcoin's current value of $66,000 (£48,700) is down 32% year-over-year.
Trump's crypto holdings reportedly exceed $11 billion, with personal income from crypto transactions reaching $800 million.
Other cryptocurrencies like Ethereum and Solana have also seen declines of around 37% in 2026.

Definitions and jargon buster

Bitcoin: A digital currency that operates on a decentralised network, allowing for peer-to-peer transactions without a central authority.
Cryptocurrency: A type of digital or virtual currency that uses cryptography for security and operates on blockchain technology.
Blockchain: A distributed ledger technology that records transactions across multiple computers securely.

How to think about the next steps

Near term (0–4 weeks)

Investors should closely monitor Bitcoin's performance and market sentiment, especially as economic indicators and regulatory developments emerge. Engaging with financial advisors may also be beneficial during this volatile period.

Medium term (1–6 months)

As the market stabilises, it will be important to assess the potential for recovery in Bitcoin prices. Observing trends in traditional markets and economic conditions will help gauge future performance.

Signals to watch

Trends in Bitcoin and other cryptocurrency prices.
Regulatory announcements from the UK government.
Economic indicators such as changes in the US dollar value.

Practical guidance

Do

Stay informed about market trends and regulatory changes.
Diversify investments to mitigate risk.
Consult financial experts for personalised advice.

Don’t

Invest more than you can afford to lose.
Make impulsive decisions based on market fluctuations.
Ignore the importance of thorough research before investing.

Checklist

Review your current cryptocurrency portfolio and assess risk.
Set clear investment goals and timelines.
Keep track of relevant news and developments in the cryptocurrency space.
Evaluate the benefits of diversifying into other asset classes.
Consider the impact of potential regulation on your investments.

Risks, caveats, and uncertainties

The current downturn in Bitcoin prices highlights the volatile nature of cryptocurrencies. Market sentiment can shift rapidly, influenced by external factors such as regulatory changes and macroeconomic trends. Investors should proceed with caution, recognising the inherent risks involved in cryptocurrency investments.

Bottom line

The recent decline in Bitcoin's price underscores the challenges facing the cryptocurrency market despite strong political support. UK investors should remain vigilant and informed, considering the potential for further fluctuations as they navigate this complex landscape.

FAQs

What caused Bitcoin's recent price drop?

Bitcoin's price drop is attributed to a combination of factors, including shifting market sentiment and the nomination of Kevin Warsh as the new chair of the Federal Reserve, which has led to increased pessimism around cryptocurrencies.

How does Trump's support affect Bitcoin's value?

While Trump's support initially boosted investor confidence, recent market trends indicate that his endorsement has not prevented the decline in Bitcoin's value.

What should investors consider in the current market?

Investors should closely monitor market trends, diversify their portfolios, and remain informed about regulatory developments to navigate the current cryptocurrency landscape effectively.