Markets
Bitcoin Falls Below $68K as ETFs Bleed $64M and Asian Stocks Fall
It was a risk-free day in Asia.
Bitcoin, the leading cryptocurrency by market value, fell more than 2% to $67,900, extending the pullback from recent highs near $72,000. Ether, the second-largest coin, followed suit, dropping below $3,550 at one point. The broader CoinDesk 20 index fell 1% to $2,370 points.
Losses followed $64.9 million in cumulative outputs of U.S.-listed bitcoin exchange-traded funds (ETFs), the first loss since at least May 23, according to provisional data published by Farside Investors. Inflows have been strong recently, although the market talk is that they result from institutions’ growing interest in non-directional basis trading rather than outright bullish bets.
In traditional markets, Chinese stocks fell more than 1%, leading losses in Asian stock indexes amid lingering concerns in the property market and reports The Bank of Japan may reduce its purchases of liquidity-boosting bonds this week.
The dollar index, which measures the dollar’s exchange rate against a basket of major fiat currencies, consolidated into two-day gains, while prices of supposed safe-haven U.S. Treasuries rose, pushing yields higher. low. The yield on the benchmark 10-year note fell three basis points to 4.45%, according to charting platform TradingView.
The recent gains of right-wing parties in the European elections and the announcement of an early vote by France have revived concerns about the cohesion of the European Union, adding uncertainty in the market.
Meanwhile, Wednesday’s US CPI release and the Fed’s rate decision kept investors on edge. Wednesday’s FOMC will see the central bank publish its latest quarterly projections, including the interest rate dot plot (projections).