News
down to 62,000 dollars amid pressure on the dollar and nervousness about inflation From Investing.com
Investing.com– The price of Bitcoin fell on Monday, extending a deep decline from last week, as concerns over U.S. interest rates and the anticipation of key inflation data kept traders largely biased toward the dollar.
Broader cryptocurrency prices were also pressured by a strong dollar, as the greenback neared a two-month high following robust data from the U.S. Purchasing Managers’ Index.
fell 2.4% over the past 24 hours to $62,850.7 as of 12:59 a.m. ET (0459 GMT).
Bitcoin under pressure from strong dollar, PCE inflation expected
The world’s largest cryptocurrency suffered steep losses over the past week as traders became skeptical about the timing of interest rate cuts by the Federal Reserve.
This sentiment is likely to see little sign of improvement this week, especially ahead of key data due on Friday.
The reading is the Fed’s preferred inflation indicator and is likely to impact the central bank’s outlook on interest rates in coming months. While Friday’s data is expected to show a slight slowdown in inflation, the figure is still expected to remain well above the Fed’s 2% annual target, giving the central bank more room to keep rates high.
High rates do not bode well for cryptocurrencies, as they diminish the attractiveness of speculative and risk-oriented assets such as cryptocurrencies.
Cryptocurrency Price Today: Altcoins Sinking Deeper Than Bitcoin
Major altcoins have seen much deeper losses than Bitcoin, as a series of token unlocks, declining institutional demand, and a fair amount of profit-taking have put pressure on cryptocurrency prices.
Recent capital flow data has shown that institutional demand, particularly for cryptocurrency investment products, has remained largely focused on Bitcoin. But Bitcoin also saw strong outflows in early June.
The world’s No. 2 token fell 4.2% to $3,366.81, hitting a one-month low as it largely consolidated gains made on hype over an Ether exchange-traded fund.
fell 3.3%, while and slipped 4.3% and 7.4% respectively. Both tokens have seen some gains in recent sessions.
Among meme tokens, e fell 4.7% and 5.8%, respectively.