Bitcoin’s price has been falling again, extending a multi-week slide amid a shift toward risk-off sentiment in global markets. The token recently dropped by a few percentage points — dipping into the mid-$60,000s — and traders are attributing the weakness to a mix of macro headwinds, geopolitical tension and broader market uncertainty.

A key factor behind the sell-off is rising geopolitical stress, particularly around ongoing diplomatic and security flashpoints involving the United States and Iran. These developments have pushed some investors away from speculative assets like Bitcoin and into safer havens such as cash or government bonds. With risk appetite muted, crypto markets have struggled to hold gains even when equities offered sporadic rebounds.

Another element adding pressure is the broader “risk-off” mood that’s gripping markets. Concerns over artificial intelligence’s impact on economic growth, mixed tech sector performance, and outflows from Bitcoin exchange-traded products suggest that sentiment toward risk assets has softened. This environment makes assets like Bitcoin more vulnerable to sharp moves.

Technical and flow-based forces also contribute to the decline. Spot ETF data has shown net outflows from Bitcoin products, indicating weakening institutional demand, while leveraged positions and margin liquidations continue to exacerbate selling pressure in the spot market.

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The broader macro context — including economic data, Federal Reserve policy commentary, and global growth uncertainty — has further dampened speculation. Higher interest rates and expectations of slower monetary easing reduce the appeal of non-yielding assets, making fixed-income and cash more attractive relative to high-volatility crypto.

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Despite these near-term headwinds, some analysts point out that oversold conditions or historical support levels could eventually attract long-term buyers. But for now, the combination of geopolitical headlines and shifting market sentiment is keeping Bitcoin under pressure, with investors closely watching macro data and geopolitical developments for clues on whether the downtrend will stabilize or deepen.