Bitcoin TODAY collapses as euphoria for Trump gives way to caution over the Federal Reserve
Bitcoin is on track for its first seven-day decline in eight weeks, as aggressive signals from the Federal Reserve prompted traders to sell an asset that has more than doubled its value this year.
The original cryptocurrency fell by as much as 5.3% to $92,149 on Friday after reaching an all-time high just above $108,000 earlier in the week. It has dropped about 5% since Sunday and was recently trading around $97,400 in New York. The decline weighed more on smaller tokens, from Ether to Dogecoin, and occurred even as stocks in the United States were trading higher.
A group of exchange-traded funds in the United States that invest directly in Bitcoin broke a 15-day streak of continuous inflows on Thursday to record an outflow of $680 million, according to data compiled by Bloomberg, highlighting the shift in sentiment.
Uncertainty in the cryptocurrency markets seems likely to continue during the holidays as Trump prepares to take office and threatens to impose tariffs on U.S. allies and adversaries. As the Federal Reserve is likely to slow the pace of easing, attention is focused on how quickly traditional financial firms will adopt this class of assets.
