Bitcoin Touches a One-Month Low in a Broad Crypto Market Selloff

Bitcoin touched a one-month low as outflows from digital-asset investment products and the prospect of higher-for-longer US borrowing costs sapped the cryptocurrency market.

The largest digital asset shed as much as 2.7% on Tuesday, reaching a level last seen in mid-May, before paring some of the drop to trade at $65,266 as of 8:04 a.m. in New York. Smaller tokens such as Ether, Solana and Dogecoin also sank.

bitcoin drops

Some $600 million was pulled from digital-asset products last week, the most since March, data from CoinShares International Ltd. show. Stubborn inflation has led traders to scale back expectations for Federal Reserve interest-rate cuts this year, posing a challenge for speculative investments such as crypto.