Digital currencies fell sharply and collectively over the past few hours, led by Bitcoin, amid a slowdown in demand for US exchange-traded funds and a decline in bets on a more flexible Federal Reserve monetary policy.
The largest digital currency in terms of market value, Bitcoin, fell by about 4.5% in the last 24 hours, as it now records a level of $66,428, while the lowest price was recorded at $64,000. Tokens from meme currencies such as Pepe and dogwifhat also declined.
Cryptocurrencies' sharp rally this year is losing momentum as persistent price pressures in the US prompt investors to limit bets on Federal Reserve interest rate cuts, boosting yields on Treasuries and the dollar. This is a more difficult backdrop for speculative sectors of global markets such as the digital assets sector.
Richard Galvin, co-founder of DACM, said the cryptocurrency market has looked “weak” over the past 12 hours in the wake of the latest US economic data.
