The Bitcoin market is in free fall. The price of a single Bitcoin coin has fallen from $126,198 on October 6, 2025, to $73,582, at the close on February 4, a fall of $52,616, or 42%. Mike McGlone, a Bloomberg Intelligence strategist, warned February 2, that Bitcoin, the stalwart of the crypto market could, based on fundamentals, fall to $10,000 per coin, a tumble of 92%, or virtual liquidation.
This goes beyond Bitcoin. Ethereum, a one-time fan favorite (a platform which uses Decentralized Finance and tokenized assets), has experienced a significant downturn, trading below $2,200, in early February: The price is down over 50% from its August 2025 high of roughly $4,955. Other creatures and animals crawling around from the crypto world are having rough experiences. According to the February 4 Bloomberg headline, “Bitcoin-Led Crypto Rout Erases Nearly $500 billion in One Week.”
Crypto is an invention from solving puzzles on computers, using a lot of electricity. It has no value, and no coin. The above cited February 4 Bloomberg article cites a truism: “Bitcoin’s plunge is raising doubts that it functions as a safe haven during a period of heightened geopolitical uncertainty.” Michael Novogratz, CEO of Galaxy Digital, a firm that focuses on digital assets, got closer to the truth, whether he intended to or not. He said, there’s been a “tremendous amount” of “near religious belief” in holding on to Bitcoin no matter what. That spell is being pierced, as investors find that one of the tainted ‘miracles’ of the 2020s, crypto, may have no bottom.
On December 8, 2025, the Bank for International Settlements, in a section of its Quarterly Review, warned that the gold market is a “speculative asset,” as is the market for silver, copper, and platinum. The BIS report asserted that, “following its explosive phase, a bubble typically bursts with a sharp and swift correction.” That is happening with the crypto market, as it will happen with the metals markets, and like speculative markets.
The crash will be gigantic, no matter how much quantitative easing the mad-hatter President Trump demands. It is time to think of building the science-intensive real physical economy.
