Bitcoin (BTC-USD), the leading cryptocurrency by market cap, witnessed a rollercoaster ride over the past two weeks. After setting an all-time high of $73.8K, it currently trades down 7% to $63.1K.

This sharp correction follows a period of bullish momentum that saw Bitcoin surpass its previous record of $68K.

Notably, Bitcoin's market capitalization fell 14% in just five days, reaching $1.25T just ahead of the Federal Reserve's policy meeting.

This sudden dip sent ripples through the cryptocurrency market, causing a sell-off in the stocks of companies associated with Bitcoin and blockchain technology.

Companies like Bitdeer Technologies (NASDAQ:BTDR) saw their shares drop by 8%, while MicroStrategy (NASDAQ:MSTR) took a bigger hit with a 15% decline. CleanSpark (NASDAQ:CLSK), Riot Blockchain (NASDAQ:RIOT), and Marathon Digital (NASDAQ:MARA) also experienced declines, falling 7%, 5%, and 6.5%, respectively.

However, other major digital tokens are also experiencing a domino effect, with ether (ETH-USD) falling 9% to $3,266, Cardano (ADA-USD) down 10%, and Solana (SOL-USD) down 12%. Smaller tokens, known as meme coins, also saw decreases in value, with Dogecoin (DOGE-USD) plunging 13% and Shiba Inu (SHIB-USD) falling 10%.

Some analysts believe that the recent price drop could be a natural correction after Bitcoin's rapid price increase as the cryptocurrency has experienced a strong bull run over the past year, with its price more than doubling since the beginning of 2023.

Despite the recent price drop, many cryptocurrency enthusiasts remain optimistic about Bitcoin's long-term prospects.

Bitcoin's decline comes ahead of the upcoming halving in April. Historically, Bitcoin has fallen weeks before the event, with corrections of 20% in 2020 and 40% in 2016.