Cryptocurrency Stocks In the Red as Bitcoin Falls Below $63,000
Bitcoin (BTC) saw a significant 6% drop on Tuesday, marking its biggest single-day drop in two weeks, caused by a widespread sell-off in cryptocurrencies and other risk-prone assets.
The price of the cryptocurrency fell to $62,966 before recovering slightly to $63,650. Similarly, Ethereum's ether saw a 6.8% drop, as did other altcoins.
Cryptocurrency-related stocks followed Bitcoin's decline: Coinbase (NASDAQ đŸ™‚ fell 6% and Riot Platforms (NASDAQ đŸ™‚ lost 4.7% in pre-market trading. Similarly, MicroStrategy (MSTR) and Marathon Digital (NASDAQ đŸ™‚ plummeted 10% and 6.6%, respectively.
Despite the day's losses, Bitcoin has still racked up a 52% gain so far this year, driven by enthusiasm around US exchange-traded funds (ETFs) based on the cryptocurrency.
Last Thursday, the leading crypto asset hit an all-time high of nearly $74,000, but recent profit-taking measures and new US economic data have tempered expectations for interest rate cuts from the Federal Reserve this year. year, which has contributed to the decline.
Over the past week, BTC's value decreased by almost 9%, its most significant weekly loss since last September.
