Bitcoin has fallen below the $60,000 threshold for the first time since October 2024, marking a significant psychological breach in the ongoing crypto downturn.

The leading cryptocurrency slid more than 4% on Wednesday to trade around $59,548, briefly dipping lower before stabilizing.

The move extends the digital asset's bear market, which has now persisted for eight months.

The sell-off was driven by a broader pullback in US technology stocks, which weighed heavily on risk sentiment across global markets.

As tech equities retreated, investors rotated out of high-beta assets, with Bitcoin bearing the brunt of the risk-off pressure.

The correlation between digital assets and growth stocks remains a key driver of volatility in the current regime.