Bitcoin falls to four-month low as Fed rate hikes loom
Bitcoin dropped to $68,099, down 10.2% for the week, as rate hike odds surged.
Bitcoin fell to $68,099 on Friday, its lowest level since August. For the week, it dropped 10.2%, the worst performance since early June.
The crypto market has been hit hard by rising odds of Federal Reserve rate hikes in December. Stronger-than-expected US jobs data and higher inflation readings boosted these rate hike odds.
Cryptocurrencies are risky assets, so higher interest rates make them less attractive to investors. Ethereum fell 5% to $1,919 and Solana dropped 13.2% for the week.
Regulatory uncertainty after the Democratic election has also weighed on sentiment.
Why it mattersRising rates cool demand for speculative investments; crypto holders face sustained pressure as policy tightens.
AustraliaAustralian investors holding Bitcoin and other cryptocurrencies face direct losses as global market conditions deteriorate.
✓ Claims checked against the source. checked 10 h ago
