Bitcoin Slumps to More Than One Month Low as Risk Appetite Ebbs
Bitcoin slumped to a more than one-month low with this year’s record-breaking rally showing signs of fatigue in the absence of fresh market catalysts.
After reaching an all-time high of almost $74,000 in March amid surging optimism over the approval of US exchange-traded funds to directly hold the original cryptocurrency, Bitcoin has retreated around 14%. Adding to the malaise is fluctuating expectations for cuts in US interest rates, which has lessened demand for most riskier assets.
“Cryptocurrencies have had their wings clipped by the sell-off in equity markets, reflecting a downturn in risk appetite in global finance,” said Alex Kuptsikevich, FxPro senior market analyst, in a note on Friday.
Bitcoin fell as much as 2.4% to$63,490, the lowest level since May 15, and is down about 3% since last Friday. Other cryptocurrencies were mostly little changed, with Ether, XRP, Cardano and Solana all down less than 1%.
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