Bitcoin Price Today: Why It Dipped Below $82,000

The bitcoin price is positioned to end the month of March on a down note, falling below the $82,000 level overnight and igniting fears that it could lose its footing further. While it has since come off its lows, BTC is not in the clear just yet. Through a wider lens, the bitcoin price has fallen 4% over the past week but is up 4.2% over the past month, reminding investors just how volatile the leading cryptocurrency can be. The markets are in a risk-off cycle, and this is affecting everything from Big Tech stocks to cryptocurrencies like bitcoin. 

Bitcoin’s declines come in response to a tariff-ridden economy that is sending the stock market reeling. While bitcoin was designed to be immune to these pressures, it has instead shown a tendency to take its cue from the economy and the S&P 500. Over the long term, it appears that the storm clouds will eventually clear and bitcoin could potentially resume its run into $100,000 territory and beyond if it can focus more on fundamentals and less on headlines.

Reserve Currency

Bitcoin believers aren’t worried about the rut, especially after hearing bullish comments from the head of the world’s biggest asset manager. BlackRock CEO Larry Fink, whose firm runs the popular iShares Bitcoin Trust, in a letter to shareholders sounded the alarm on the U.S. economy, suggesting that the American dollar is at risk of losing its world reserve currency status to the No. 1 cryptocurrency, owing to massive debt. Fink reportedly stated, 

“I’m obviously not anti-digital assets. But two things can be true at the same time: Decentralized finance is an extraordinary innovation. It makes markets faster, cheaper, and more transparent. Yet that same innovation could undermine America’s economic advantage if investors begin seeing bitcoin as a safer bet than the dollar.”

Fink is also touting the blockchain, saying that tokenized assets could potentially “revolutionize” investing through features like 24/7 trading in the stock market and speedy settlement times. 

Now What? 

With bitcoin making its way into the conversation about the world’s reserve currency, the BTC bulls are licking their chops at the potential FOMO that could be reignited once again. Many have little confidence that the U.S. will be able to wrangle its debt under control, which would be a boon for the bitcoin price if BlackRock’s Fink’s theory plays out. Even if it’s a long shot, bitcoin has changed the conversation about money, even in a risk-off environment among investors. Now if the BTC price would only catch up. 

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