Bitcoin Suffers Worst Monthly Decline in Nearly Three Years Amid Geopolitical Tensions

Bitcoin's value has taken a significant hit in February, with a decline of nearly 24% this month alone. This drop marks its worst monthly performance since June 2022, when the crypto market was ravaged by the collapse of TerraUSD.

The current downturn is being driven by a combination of factors, including heightened geopolitical tensions and macro anxieties. The threat of tariffs from President Donald Trump has added to investors' concerns, causing them to shy away from riskier assets like Bitcoin.

Interestingly, while Bitcoin's value has dropped, gold has surged 17% at the start of the year, and the S&P 500 has nudged higher. This divergence in performance has been a cause for concern among crypto bulls, who had argued that digital currencies would act as a safe-haven asset during times of uncertainty.

Technically, Bitcoin is approaching its 200-week moving average near $58,500, which has historically served as a floor during bear markets. Analysts remain divided on the future direction of the cryptocurrency, with some predicting a further slide towards the $71,000 support level if tariff fears persist.