Coinbase UK CEO Says Crypto Downturn Reflects Macro Jitters, Not Lost Confidence

Crypto markets extended their decline this week, with Bitcoin slipping to multi-week lows and shedding hundreds of billions of dollars in market value. Yet according to Coinbase UK CEO Keith Grose, the downturn reflects a broader shift in global risk sentiment rather than fading conviction in digital assets.

Grose said Coinbase’s latest research points to “jitters around AI-bubble fears and a broader risk-off mood among investors” as central drivers of the sell-off. He noted that while the price action has deteriorated, the industry continues to move forward on multiple fronts, including regulatory clarity, infrastructure development, and institutional participation.

“The past year has brought real progress… This period is a recalibration, not a reversal,” Grose said, emphasizing that underlying adoption trends remain intact even as macro conditions weigh on speculative assets.

Bitcoin is trading around $91,535, down about 1% over the past 24 hours, extending a multi-week decline that has pushed the asset firmly below the key $100,000 psychological level.

Bitwise Chief Investment Officer Matt Hougan is also urging investors to look past Bitcoin’s sharp pullback, arguing that the cryptocurrency’s long-term value has little to do with its recent slide and everything to do with the service it provides.

Hougan dismissed concerns about a deeper downturn, saying the current drop, roughly 27.5% from Bitcoin’s October all-time high, is “short-term noise.”

UK Market Strategy Remains Focused on Regulated Growth

Despite volatility, Coinbase is expanding its UK presence and prioritising regulated products built to function across market cycles. Grose pointed out the firm’s newly launched GBP savings product, which offers UK customers a secure way to grow their cash balances while markets remain uncertain.

“In the UK, our focus is on building regulated, trusted products that work through every part of the cycle,” Grose said. “Volatility grabs headlines, but we are positioned to accelerate from a place of strength. By giving individuals more choice and control during uncertain times, we’re advancing towards our mission of expanding economic freedom for everyone.”

Bitcoin’s retreat comes alongside a broader sell-off in high-growth technology stocks, with concerns about the sustainability of AI-driven valuations spilling into crypto.

Technical Breakdown Adds Pressure to Bitcoin

Carolane De Palmas, analyst at ActivTrades, attributes Bitcoin’s extended decline to a combination of macro stress and a sharp deterioration in market structure. “Bitcoin’s 28% collapse from its October record stems from macro headwinds and structural pressures,” she said.

A flash crash on October 10—triggered by renewed U.S.–China trade tensions—sent Bitcoin tumbling from $122,500 to $104,600, with the asset failing to recover since. Long-term holders and institutions who accumulated positions earlier in the year are now exiting, adding sustained selling pressure as leveraged long positions unwind.

De Palmas also noted that Bitcoin’s investor base overlaps heavily with AI and tech stocks; when concerns over inflated tech valuations intensified, both markets faced synchronised outflows.

Fed Uncertainty and Technical Indicators Point to More Volatility

Bitcoin recently broke below its 50-week moving average and slipped into the weekly Ichimoku Cloud for the first time since early 2023—moves that De Palmas says point to a weakening longer-term uptrend. Key levels now sit at $93,050, $85,435, and $80,560.

With the Federal Reserve’s December decision still uncertain, and a government shutdown delaying key economic data, risk sentiment is expected to remain fragile. “For Bitcoin, which thrives on liquidity expectations, this information vacuum itself is bearish,” De Palmas said.

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