Bitcoin 's slide accelerated sharply on Friday, sending the price more than 25% back from its all-time high reached less than six weeks ago, Bloomberg reports.

The reason for the collapse is that traders sharply reversed bets that followed Trump's election.

The leading digital coin had fallen by 7.39% to $79,761 after hitting its lowest level since November 10 at $79,579. Other cryptocurrencies are also under heavy pressure: Ether has fallen by more than 10%, reaching December 2023 lows around $2,102. Smaller tokens Solana and XRP have fallen by 9.15% and 9.47%, respectively.

The sell-off reflects a sharp reversal in sentiment in digital assets, which peaked after Trump's election victory. Bitcoin hit an all-time high of $109,410 on January 19, ahead of Trump's inauguration, but has since retreated amid concerns about the president's hawkish stance and the outlook for the U.S. economy.

“Given the macroeconomic environment, it is not surprising that we are where we are,” said Bitgo’s Stefan von Haenisch.

Traders are still waiting for Trump, who is seen as a supporter of cryptocurrencies, to propose concrete steps for the sector, including a bitcoin reserve, he said.

The decline was part of a broader shift in sentiment among investors in Asia, who dumped stocks after Trump's latest comments on tariffs. The US president said 25% tariffs on Canada and Mexico would go into effect on March 4, while Chinese imports would be hit with an additional 10% duty. The MSCI AC Asia Pacific Index fell about 2%.

The bearish sentiment this week also affected US spot bitcoin ETFs, with investors pulling out more than $1 billion on Tuesday – the biggest one-day outflow since their launch last year.