Bitcoin's deep first-half 2026 selloff tests theory that ETFs would reduce volatility
3h ago· 6 min readenInsight
Summary
Bitcoin has fallen more than 50% from its October 2025 peak, putting it on track for its worst first half since 2022. The article examines how Bitcoin ETFs, which were expected to reduce volatility and cushion selloffs through institutional adoption, are being tested by the current downturn. Despite hopes that a crypto-friendly administration and greater institutional involvement would break Bitcoin's boom-bust cycle, the cryptocurrency's deep drawdown in the first half of 2026 has defied those expectations.
Source
bskyBitcoin's deep first-half 2026 selloff tests theory that ETFs would reduce volatilitymorningstar.comKey quotes
· 3 pulledCrypto investors had hoped that increased institutional adoption and a friendly administration in Washington could help bitcoin, the world's largest cryptocurrency, break free from the boom-bust cycles that have plagued it for much of its existence.
Bitcoin's performance during the first half of 2026 has defied those expectations.
The cryptocurrency has fallen into a deep drawdown, rec
By Frances Yue
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