Bitcoin drops as soaring energy prices rattle risk assets: Crypto Markets Today
Bitcoin fell below $70,000 due to rising oil prices, a pause in Fed rate cuts, and broader risk-off sentiment.Summary
Bitcoin experienced a dip, falling below $70,000, as surging energy prices and the Federal Reserve’s decision to hold interest rates weighed on risk assets. Brent crude oil rose to $114 and Oman crude to $150, while European natural gas futures jumped 25%. The Fed’s pause in rate cuts boosted the U.S. dollar, further pressuring crypto and equities. Approximately $600 million in leveraged crypto futures were liquidated, with long positions bearing the brunt of the losses. Market volatility increased, as indicated by a rise in the BVIV index and strengthened put skews. While most altcoins underperformed, NEO and ETHFI saw gains. The CoinDesk 20 index also experienced a decline, reflecting the overall negative market sentiment.
(Source：CoinDesk)