Bitcoin slips below $70,000, Circle's 16% slide leads crypto stock sell-off
Market participants are now pricing in rate hikes, and it could be weighing on risk assets.
What to know:
Bitcoin slipped back toward $69,000 on Tuesday as a broader pullback in risk assets weighed on crypto markets.
Stablecoin issuer Circle and crypto exchange Coinbase led declines among digital asset-related stocks.
Increasing expectations of Federal Reserve rate hikes fueled risk-off sentiment, while bitcoin continued its recent pattern of modest Monday gains followed by small Tuesday declines.
Bitcoin appears to be continuing to follow a familiar trend over the past three months. It has typically risen by just over 1% on Mondays and then fall slightly under 1% on Tuesdays, according to Velo data.
The move also came as software stocks rolled over, with the iShares Expanded Tech-Software Sector ETF (IGV) dropping about 4%. Crypto prices have moved closely in line with the sector in recent months, with both trending lower since October. That relationship was on full display again, with digital assets weakening alongside that particular area of tech.
The S&P 500 and Nasdaq equity indexes were 0.5% and 0.8% lower, giving up much of their Monday gains on news about talks between U.S. and Iran. Global yields continue to climb, the DXY remains firm above 99, and oil has risen 2% over the past 24 hours, reinforcing the broader risk-off tone.
@SignOfficial
(https://www.binance.com/en/square/profile/signofficial)
#signdigitalsovereigninfra $SIGN
Market participants are now pricing in rate hikes, and it could be weighing on risk assets.
What to know:
Bitcoin slipped back toward $69,000 on Tuesday as a broader pullback in risk assets weighed on crypto markets.
Stablecoin issuer Circle and crypto exchange Coinbase led declines among digital asset-related stocks.
Increasing expectations of Federal Reserve rate hikes fueled risk-off sentiment, while bitcoin continued its recent pattern of modest Monday gains followed by small Tuesday declines.
Bitcoin appears to be continuing to follow a familiar trend over the past three months. It has typically risen by just over 1% on Mondays and then fall slightly under 1% on Tuesdays, according to Velo data.
The move also came as software stocks rolled over, with the iShares Expanded Tech-Software Sector ETF (IGV) dropping about 4%. Crypto prices have moved closely in line with the sector in recent months, with both trending lower since October. That relationship was on full display again, with digital assets weakening alongside that particular area of tech.
The S&P 500 and Nasdaq equity indexes were 0.5% and 0.8% lower, giving up much of their Monday gains on news about talks between U.S. and Iran. Global yields continue to climb, the DXY remains firm above 99, and oil has risen 2% over the past 24 hours, reinforcing the broader risk-off tone.
@SignOfficial
(https://www.binance.com/en/square/profile/signofficial)
#signdigitalsovereigninfra $SIGN