#DeepSeekImpact
Bitcoin Drops Below $100K Amid AI and Macro Concerns
Bitcoin and the broader cryptocurrency market have experienced a sharp decline, driven by anxiety surrounding DeepSeek's new AI model. This revolutionary and cost-effective AI technology has raised fears of disrupting U.S. dominance in AI, particularly in large language models and advanced tech. These concerns have led to uncertainty across global markets, triggering a selloff in digital assets.
Bitcoinโs value has fallen below $100,000, continuing its downward trend. Contributing to this dip is the Federal Reserve's recent FOMC meeting, which confirmed an upcoming interest rate hike, strengthening the U.S. dollar and pressuring high-risk assets like cryptocurrencies.
Additionally, speculations about former President Donald Trumpโs potential political comeback and its associated protectionist policies are adding to market jitters. This combination of AI-related concerns, macroeconomic factors, and political uncertainty has created a volatile environment, weighing heavily on the crypto market's performance. Investors remain cautious amid these challenges.
