The Dark Side of Bitcoin: 6 Risks That Could Trigger a BTC Price Collapse

Amid ongoing sluggish market, the biggest crypto YouTube channel ‘Coin Bureau’ talked to their 2.6 million subscribers about potential reasons for Bitcoin price crash in 2025. At press time, BTC is trading around $105k.

The video breaks down six interconnected threats that could collectively undermine Bitcoin’s bullish narrative.

Risk 1: Leverage Could Explode the Market

The first and perhaps most immediate threat comes from excessive leverage across both centralized and decentralized finance platforms. Many Bitcoin holders have taken out massive loans using their BTC as collateral. While this can supercharge gains during a bull run, it creates a fragile setup where even a small market shock can lead to mass liquidations. The problem is compounded by the lack of transparency in just how much leverage exists, making it hard to estimate the real risk.

Risk 2: Centralized Holdings Increase Vulnerability

Another major concern is the centralization of Bitcoin ownership and lending. Big companies like Strategy and other treasury-holding firms have accumulated large amounts of Bitcoin by issuing debt. If Bitcoin’s price drops significantly, these companies could be forced to sell to meet their obligations. Such events would not only crash the price further but might set off a chain reaction of forced selling across the market.

Risk 3: Political Involvement Could Backfire

Things get even more complex when politics enter the picture. The U.S. President Donald Trump has become deeply involved in crypto through his media company and his recent meme coin launch. With initiatives ranging from Bitcoin purchases to launching a stablecoin and a DeFi platform, his involvement has drawn attention and controversy. Many fear that associating Bitcoin too closely with one political figure could make it a target. Other countries, such as China, could retaliate by dumping their Bitcoin holdings, as Germany reportedly did last year.

Risk 4: Mining Power is Too Concentrated

Right now, more than 30% of all Bitcoin mining is done by big U.S. companies that are publicly traded. If these companies were pressured by the government or large financial firms like BlackRock, they might be forced to follow orders that go against Bitcoin’s open nature. This raises concerns about how much control they really have over the network.

Also, a lot of Bitcoin miners use machines made in China. If trade tensions between the U.S. and China get worse, it might become difficult to get this equipment. That could slow down mining operations and hurt the network.

Risk 5: Quantum Computers Could Break Bitcoin

Another risk is from quantum computing. It may sound like science fiction, but quantum computers are getting better fast. If they reach a high enough level, they could crack the security behind Bitcoin. Older wallets that haven’t been updated are the most at risk.

If that happens, the Bitcoin community might have to make a tough decision – maybe change the rules to freeze or erase the vulnerable coins. But doing this would be controversial. It could shake people’s trust in the idea that Bitcoin has a fixed supply of 21 million coins.

Risk 6: Global Economy Adds More Uncertainty

The last risk comes from the bigger picture – the global economy. Bitcoin doesn’t always act the same. Sometimes it looks like a safe investment, other times it behaves like a risky tech stock. If global investors start moving away from U.S. assets or if things like wars or trade problems get worse, Bitcoin might fall along with everything else.

What’s more, many big tech companies also hold Bitcoin. If those companies get hit hard, it could pull Bitcoin down too. On the flip side, if Bitcoin can prove itself as a truly safe and neutral digital currency, it might actually benefit from global uncertainty.

The video paints a sobering picture. Bitcoin’s future isn’t just about adoption or price charts – it’s also shaped by technology, regulation, geopolitics, and the choices of a few powerful players. Understanding these risks could be key for anyone planning to hold or invest in Bitcoin through the next cycle.

Read also: Elon vs Trump: What the Ongoing Tension Means for BTC, XRP, and Other Crypto Prices

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Petar Jovanović
Petar Jovanović

As the Head of Content at Captainaltcoin, I bring years of experience in the crypto industry. With a strong belief in the potential of the web3 market since 2017, I'm passionate about sharing valuable insights and knowledge. Feel free to connect with me on LinkedIn and let's discuss the exciting world of cryptocurrencies and decentralized technologies!

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