Bitcoin Turns Neutral Amid $1T Stock Wipeout-See Why Markets Are Shaking!

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Bitget’s Gracy Chen says $1t US stock wipeout is speeding up macro reset

As someone following the markets closely, I’m seeing increasing signs of a major global economic shift. Bitget’s CEO, Gracy Chen, recently pointed out that a potential $1 trillion loss in the US stock market could really speed up this process. Interestingly, Bitcoin‘s lower leverage is making it behave less like a high-risk gamble and more like a standard part of a diversified investment portfolio.

Summary

  • Over $1 trillion was wiped from US stocks in a single day as risk assets sold off.
  • Bitget CEO Gracy Chen says the slide has accelerated a global “reassessment of macro risks.”
  • Bitcoin’s smaller drawdown and lower leverage hint at growing status as a neutral allocation.

After a significant drop in US stock prices – wiping out over $1 trillion in value in one day – Bitget CEO Gracy Chen believes investors are quickly reassessing the risks in the broader economy. She notes that Bitcoin is increasingly being seen as a standard part of investment portfolios, rather than just a high-risk bet. According to ChainCatcher, this downturn follows a larger market decline triggered by concerns about potential tariffs under a second Trump term and rising inflation, which has particularly impacted technology stocks. As of Friday morning, Bitcoin was trading around $66,500, down about 4% for the day, but still performing better than most major stock market indexes.

Gracy Chen: $1t US stock selloff shows Bitcoin becoming neutral allocation

Chen believes the recent market downturn isn’t primarily caused by problems specific to cryptocurrencies. Instead, it’s a broader reaction to rising energy prices, persistent inflation, and global conflicts influencing investment strategies. She explained that markets are quickly reevaluating these larger economic risks, and further increases in oil prices are demonstrating how geopolitical events are now directly impacting where money is invested worldwide. This comes as analysts at Bloomberg and other firms point out that renewed trade tensions and conflicts have essentially wiped out a $1 trillion gain in the stock market since 2024, though Bitcoin’s institutional support has remained relatively strong.

Although Bitcoin is expected to remain quite volatile in the near future, its performance this week has been surprisingly stable compared to past periods of market downturn. This is largely due to a significant drop in risky trading practices (leverage) within the crypto market, which has reduced the potential for large-scale sell-offs. Recent data also shows that while Bitcoin ETFs have experienced some outflows, they haven’t triggered the dramatic crashes seen before. Additionally, Bitget has strengthened its safety measures to manage the increased volatility.

According to Chen, Bitcoin’s continued strength demonstrates how it’s being used as a safe haven asset. She notes that some investors are starting to see Bitcoin as a neutral addition to their portfolios, especially given the current instability in the global economy. This aligns with her previous observations that recent price drops in Bitcoin are closely tied to broader economic cycles, with investors shifting funds between crypto, stocks, and gold as they react to factors like trade policies and the possibility of a recession in the US. A recent report indicates that US markets have lost $9.6 trillion in value since the start of the current presidential term, but Bitcoin has consistently recovered quickly from even significant daily declines, highlighting its growing role in a world where economic risks are the primary factor influencing asset values.

As an analyst, I’ve been closely following the recent market activity, and it’s interesting to see how things have unfolded. We previously reported on a sharp sell-off that wiped out $1.1 trillion in crypto value over just 41 days, largely fueled by leveraged positions. What’s happening now feels different – more controlled. We’ve also covered how the same economic pressures affecting tech stocks – things like tariffs and inflation – are impacting the crypto market too. Despite this, Bitcoin has actually held up relatively well, even as traditional stock market indexes are nearing bear market status. If you’re tracking these movements, you can find live Bitcoin price data, as well as information on other key cryptocurrencies like Ethereum, XRP, Solana, and Dogecoin, on our site.

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2026-03-27 18:58