PANews reported on November 8th that, according to Bloomberg, BTSE COO Jeff Mei analyzed that the recent decline is partly due to market concerns that artificial intelligence (AI) concept stocks are severely overvalued. If AI and technology stocks experience a sell-off, Bitcoin may fall further. SignalPlus partner Augustine Fan pointed out that there is a lack of new positive catalysts in the short term, and concerns surrounding security and regulation persist, likely keeping mainstream institutional participation low.

Market data shows that the global cryptocurrency market capitalization reached an all-time high of approximately $4.4 trillion in early October, but a roughly 20% correction in the following month wiped out almost all of the year's gains. Around $19 billion in leveraged positions were forcibly liquidated, triggering a sell-off that shook market confidence. Bitcoin's price also briefly fell below the key 200-day moving average, a long-term support level that hadn't been breached since the 2022 bear market.