US Economist Warns of Incoming Crypto Apocalypse Following Bitcoin Decline

Key Insights

• NYU Economist Nouriel Roubini says a crypto apocalypse is coming after Bitcoin’s recent decline.
• Bitcoin briefly fell below $70,000 as Roubini warned of a further decline.
• Crypto stakeholders are still bullish, but bearish momentum has already set in.

New York University economics professor Nouriel Roubini has warned that a crypto apocalypse is coming. In a long-form post on X, Roubini, popularly known as Dr. Doom, described crypto as a pseudo-asset class.

According to him, the recent plunge in cryptocurrency value shows how volatile the asset class is. He added that crypto will not deliver the financial revolution it has promised. Bitcoin’sss Drop Below $70,000 Sparks Drop Below $70,000 Sparks Doomtake

Bitcoin’s Drop Below $70,000 Sparks Doomtake

Roubini, who has long been anti-crypto, noted the rapid plunge in Bitcoin value over the past few months. While the crypto market saw a rapid rise in value between late 2024 and the first nine months of 2025, all the gains have now been wiped out.

The positive performance during that period was a result of President Donald Trump’s pro-crypto moves, which meant a better regulatory framework. This, coupled with rising institutional adoption, drove Bitcoin to a peak of $126,000.

However, Roubini noted that the bullish momentum has now died out. According to him, while several predicted Bitcoin would reach $200,000 in 2025 and that crypto would benefit from macro and geopolitical risks, the opposite has happened.

He emphasized how poorly Bitcoin has performed since its peak, including a sharp decline amid rising geopolitical concerns.

Roubini said:

“Every time gold has spiked in response to trade or geopolitical ructions over the past year, Bitcoin has fallen sharply. Far from being a hedge, it is a means of leveraging risk, showing a strong correlation with other risky assets, such as speculative stocks.

Meanwhile, he further criticized the entire crypto industry, noting that it is neither an asset nor a currency. In his words, the only killer app in the sector is stablecoins, which are a digital version of fiat currency.

His comments are similar to those of the Big Short investor Michael Burry, who predicted the 2008 financial collapse. Burry had warned that the crypto market could enter a death spiral. Bitcoin’s price continued to decline.

Crypto Stakeholders Remain Bullish Even as Decline Continues

Despite the warnings from several financial experts, crypto stakeholders believe the current decline in value is temporary. Bitwise Head of Research Andre DrabelievesRoubini’ssbini’s comments will age poorly.

Columbia business adjunct professor Omid Malekan also noted that Roubini made a similar statement in 2018, when Bitcoin was trading at $7,000. At the time, Roubini testified before Congress that Bitcoin is the mother of all bubbles.

However, the bullish statements from a few stakeholders do not reflect the general market sentiment. The Fear and Greed Index is currently at 11, indicating extreme fear and highlighting the market’s current state as Bitcoin struggles to hold $70,000.

Nevertheless, CryptoQuant confirms that the bear market has already started. They noted that the bear market is off to a weaker start now than in 2022. So far, BTC has fallen 23% over the last 83 days, compared with 6% in the same period in early 2022.

The post US Economist Warns of Incoming Crypto Apocalypse Following Bitcoin Decline appeared first on The Market Periodical.