Bitcoin has experienced a notable decline, dropping below $113,000 for the first time in over two weeks, which has raised investor concerns about the broader economic environment, including US trade tariffs and stock market performance. The recent decline was exacerbated by news of a Securities and Exchange Commission (SEC) investigation into Alt5 Sigma, linked to Donald Trump. Additionally, the Nasdaq 100's 1.5% drop contributed to traders' risk aversion. Despite the volatility, historical patterns suggest potential for significant rebounds. The Bitcoin options market is currently signaling extreme fear, with a 30-day options delta skew reaching its highest level in over four months, indicating heightened caution among investors. Yet, there is no clear evidence that Bitcoin's long-term bullish trend has been jeopardized, and potential outflows from the stock market might even benefit the cryptocurrency in the future. Investors should note the substantial risk and volatility present in the market as they navigate their positions. This article serves as informational content and should not be construed as investment advice.

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