thecryptobasic.com
Bitcoin closed Q1 2026 with its weakest start to a year in nearly a decade, posting a sharp double-digit loss.
The decline marks Bitcoin’s worst first-quarter performance since 2018 and raises fresh concerns about the cryptocurrency’s near-term outlook.
Key Points
- Bitcoin closed Q1 2026 with a 22% loss, marking its weakest start to a year in nearly a decade.
- Although $BTC opened the year at $87,500, it fell steadily to end the quarter at $68,233.
- Escalating tensions in the Middle East further pressured Bitcoin’s price throughout the quarter.
- Despite the current weakness, historical trends show April has typically been a bullish month for Bitcoin.
Bitcoin Records Worst Q1 Performance in Eight Years
According to Coinglass data, Bitcoin fell 22% in Q1 2026, its steepest first-quarter drop since 2018, when it plunged nearly 49.7%. For context, Bitcoin has displayed a mixed quarterly performance since 2018.
The asset gained 8.74% in 2019, declined 10.83% in 2020, and then surged 103% in 2021. It later slipped 1.46% in 2022 before rebounding strongly with gains of 71% and 68% in 2023 and 2024, respectively.
However, momentum weakened again in 2025 with an 11.82% drop, and the asset has now recorded a deeper 22.2% decline in Q1 2026.
Middle East War Impacts Bitcoin Price in Q1 2026
Overall, the downturn reflects a turbulent start to the year, driven by heightened volatility and shifting investor sentiment. Initially, Bitcoin showed strength, climbing from $87,500 to nearly $95,000 early in the quarter.
However, it soon reversed course, falling steadily and dropping as low as $60,000 on February 6. Although it briefly recovered to around $70,000 later that month, bearish pressure returned, pushing the price down to $63,000 following geopolitical tensions in the Middle East amid the assassination of Iran’s Supreme Leader, Ali Khamenei.
Meanwhile, continued conflict further weighed on Bitcoin throughout March, triggering sharp price swings. As a result, the asset closed the quarter at $68,233, sealing a 22% loss.
$BTC Sees Fresh Dip
Moreover, these geopolitical tensions have continued into Q2. Yesterday, Bitcoin faced renewed selling pressure after U.S. President Donald Trump signaled a shift away from prior peace efforts and threatened further military action in the coming weeks.
Amid the escalation, Bitcoin fell 3.13% within 24 hours to $66,700. At the same time, the broader crypto market weakened, with Ethereum, BNB, and XRP each posting losses of roughly 3% to 4%.
Despite the downturn, traders remain optimistic as Bitcoin has historically performed well in April. According to data from Coinglass, Bitcoin posted an average gain of 11.94% in April, while the median monthly return was 5.04%, suggesting the month has often delivered positive momentum for the asset.
However, it remains uncertain whether Bitcoin will end the month in the green, as the ongoing Middle East conflict could continue to weigh on its performance, as it did last quarter.