Bitcoin Falls 50% from $126K Peak Amid Geopolitical Tensions, AI Capital Shift, and Four-Year Cycle: CZ

According to CoinDesk, Binance founder CZ attributed Bitcoin's decline in the first half of 2026 to three primary factors: geopolitical tensions, large-scale capital flows into AI projects, and the cryptocurrency four-year market cycle. Bitcoin has fallen approximately 50% from its October 2025 peak of $126,000, with current levels hovering near $60,000.

CZ expressed confidence in the industry's long-term prospects, noting that the U.S. Digital Asset Market Structure Act represents a tactical legislative measure that will not determine sector growth. He indicated support for the law's passage and suggested that regulatory progress in other regions could accelerate if U.S. legislation lags.