Bitcoin on course for worst week since 2022 as ‘bored’ crypto investors lured away by SpaceX frenzy

Bitcoin was yesterday on course for its worst week since 2022 as ‘bored’ crypto investors turn their attention to next week’s record-breaking £1.3trillion SpaceX float.

The world’s biggest cryptocurrency was down 15 per cent over the period, falling yesterday to as low as $61,117, the lowest level since February and more than 50 per cent below its peak last October.

It came as investor enthusiasm grew ahead of the much-anticipated initial public offering (IPO) for Elon Musk’s SpaceX next week.

UK investors were this week told that they have until 7pm next Wednesday to apply for shares in the historic sale.

SpaceX, a rocket launch firm which also includes satellite giant Starlink, artificial intelligence (AI) business xAI and social media platform X, plans to raise £56billion in the IPO – possibly rising to £64billion depending on demand.

Mark Dowding, fixed income chief investment officer at RBC Bluebay, said markets were turning their focus to ‘jumbo equity raises’ including SpaceX as well as a forthcoming IPO from AI giant Anthropic and a big cash call from Google owner Alphabet.

Together these ‘will be absorbing close to $250billion(£186billion)’, Dowding said.

‘With much of this coming from retail investors speculating on short-term gains and momentum, it has been interesting to observe a sharp correction in the price of Bitcoin and other digital assets as holders get bored by lacklustre returns in crypto and seek to jump on momentum,’ he added.

‘From this perspective, it is instructive to see how assets can struggle as they move from being the flavour of the month to being suddenly out of fashion.’