Cryptocurrency Market Plunges: $500 Billion Wiped Out Amid Bitcoin Sell-Off

• The cryptocurrency market saw a massive sell-off, led by Bitcoin, wiping out approximately $500 billion (45 lakh crore) in value within a week.
• Bitcoin's sharp decline to around $72,877 on Tuesday, its lowest since November 2024, triggered widespread fear and a collapse in market sentiment.
• The market has been under pressure for months, with Bitcoin falling 40% from its October record high, exacerbated by a $19 billion liquidation event on October 10.
• Geopolitical tensions, particularly between the US and Iran, led investors to safe assets, but cryptocurrency failed to act as a hedge, questioning Bitcoin's 'digital gold' image.
• Massive liquidations, totaling over $6.67 billion since January 29, and volatile Bitcoin ETF flows highlight the market's extreme fragility and investor caution.