New Delhi, Feb. 28 -- A week-long rout in Bitcoin deepened amid the recent broader retreat from risky assets in the wake of US President Donald Trump's tariff threats and crypto sector turmoil, marking a dramatic reality check for one of the most popular Trump trades.

The original cryptocurrency tumbled as much as 7.2% to $78,226 at one point Friday, bringing its decline from the all-time high reached less than six weeks ago to 25%. Bitcoin has since pared the loss, and was trading little changed on the day. The weekly slide has put the digital currency on pace for its worst week since August.

This week's drop in Bitcoin has taken it to technical levels that many traders watch for signs that the selloff may have gone too far, inspiring ...