Bitcoin has experienced significant declines in recent times. Especially today, Bitcoin fell for the fourth consecutive trading day, once falling below $54,000 per coin. The intraday drop reached about 7%, falling to the lowest level since February. The performance contrasts with recent record highs in global stock markets.
Bitcoin’s decline has not only affected its own price, but has rippled across the entire cryptocurrency market. The top 10 cryptocurrencies by market capitalization all plummeted, with the declines mostly concentrated between 10% and 20%. Cryptocurrencies such as Ethereum, Ripple, and Dogecoin also suffered varying degrees of losses.
Reduced demand from U.S. Bitcoin exchange-traded funds (ETFs) is one of the reasons for the decline in Bitcoin prices. As bets on the Fed cutting interest rates have waned, demand for riskier investments has taken a hit, and flows into these products have fallen sharply.
