Bitcoin slipped below the $90,000 mark on Thursday, as growing concerns over artificial intelligence (AI) risks dented investor appetite for high-risk assets. The decline comes after a week of heightened volatility in global markets, with traders increasingly cautious about the impact of AI regulation and its potential disruption to technology-driven sectors.
Market analysts noted that Bitcoin, often seen as a barometer of risk sentiment, faced selling pressure as investors shifted towards safer assets amid uncertainty. The cryptocurrency dropped nearly 4 percent in intraday trading, marking its lowest level in weeks.
The broader crypto market also mirrored the trend, with Ethereum and other major tokens registering declines. Traders attributed the pullback to a combination of profit-taking and fears that tighter oversight of AI technologies could slow innovation, thereby reducing speculative momentum in digital assets.
Despite the dip, Bitcoin remains significantly higher than its levels earlier this year, reflecting strong institutional interest and continued adoption. Analysts suggest that while short-term volatility may persist, long-term fundamentals such as limited supply and growing mainstream acceptance continue to underpin the cryptocurrency’s outlook.
Global equity markets also showed signs of strain, with technology stocks leading losses. Investors are closely monitoring regulatory developments around AI, which have become a focal point for policymakers worldwide.
