Experts issue Bitcoin warning as nearly $1,000,000,000,000 is wiped from the stock market

They say that what goes up must come down, but that's not the way the stock market is supposed to work. As people put their money in various stocks and shares, they hope to make a pretty penny by getting in early and watching their investments flourish.

Just ask Rob Gronkowski about his Apple investment and former White House communications directo Anthony Scaramucci about his forgotten Microsoft goldmine.

Despite naysayers who still think cryptocurrency is a fad, there are plenty of success stories. Lily Allen has branded herself an 'idiot' for not getting involved, while 50 Cent famously made bank on a savvy Bitcoin investment.

The likes of the Winklevoss twins became Bitcoin billionaires, while Tesla has also added to its bank balance due to the early adoption of Bitcoin.

Now, money experts are warning that the bubble could be about to burst as nearly $1 trillion has been wiped off the stock market and the war in Iran continues to rumble on. There's already been a notable shakeup in energy prices, all as oil prices soar and Iran tightens its chokehold on the Strait of Hormuz. There's been panic as oil has tipped over the $100 per barrel mark for the first time since Russia invaded Ukraine back in 2022.

We previously reported how investors are bracing for instability on the stock market, and with that, Bitcoin could be in trouble.

Still, Decrypt reports that Bitcoin is trading at its highest rate in nearly a week. Despite tensions in the Middle East, things seem to be steadying as Bitcoin rose by 2.6% to $71,500. It's a notable high not seen since March 13, and goes some way to clawing back the damage the US-Israel war with Iran has been chipping off the market.

Nic Puckrin, co-founder of Coin Bureau, told Decrypt that trouble with oil prices can be blamed for Bitcoin's own troubles: "The deciding factor for Bitcoin usually ends up being global liquidity.

Right now, investors appear to be pricing in little long-term disruption to liquidity conditions, driven by the hopes the oil crisis will be short-lived.”

Puckrin warns that things could get worse before they get better, adding: "In 2022, the Bitcoin price drop was driven primarily by the Fed’s aggressive hiking cycle to curb inflation.

"If the same scenario plays out and global liquidity tightens, Bitcoin’s current strength could be undermined.”

Back when nearly $1 trillion vanished from the markets in August 2025, Bitcoin was hit hard and slipped to a $107,000 low – although that would be optimistic given its current valuation of just $72,000.

In terms of the wider stock market, data shows that the S&P 500 has just dropped by 1.52%, the Dow dipped 1.56%, and the tech-heavy Nasdaq has been pummelled by 1.73%, down to 24,533.

Ryan McMillin, chief investment officer at Merkle Tree Capital, went on to warn that even though Bitcoin is rallying right now, we need to remember this time last year when stocks rose and Bitcoin plunged: "For now, it looks more like crypto-specific capital flows overwhelming the usual macro correlations."

Then again, those late-2025 Bitcoin highs of $126,000 seem like a distant memory.