Bitcoin Drops Below $70,000 Amid Rising Inflation and Treasury Yields
Bitcoin has experienced a significant price decline, falling approximately 4.1% to around $68,860. This downturn was primarily triggered by hotter-than-expected inflation data released on Tuesday, which has heightened market expectations for a Federal Reserve interest rate hike in December. The sell-off is being compounded by rising long-term U.S. Treasury yields, with the 10-year yield reaching 5.13%. As bond yields rise, investors typically rotate out of high-risk assets like cryptocurrency and into more secure fixed-income instruments. Additionally, a wave of leveraged position liquidations within a 24-hour period has accelerated the downward momentum.