Bitcoin slid to about $62,380 as rising odds of a July Federal Reserve rate increase, higher Treasury yields and an oil-driven inflation scare pressured risk assets ahead of U.S. CPI data and Chair Kevin Warsh's testimony.
Major cryptocurrencies remained under pressure, with bitcoin falling more than 2% over 24 hours to around $62,380, as traders sharply increased bets on a Federal Reserve interest-rate increase as soon as July. Ether, XRP and other tokens posted similar losses while money markets lifted the implied probability of a hike this month to roughly 50%, up from about 10% days earlier. The shift followed remarks from Fed Governor Christopher Waller and was echoed in fixed-income markets, where the two-year U.S. Treasury yield rose to 4.29%, its highest level since early last year. The hawkish repricing has been reinforced by rising oil prices tied to escalating U.S.-Iran tensions, with West Texas Intermediate crude climbing to nearly $80 a barrel from $67 at the start of the month, adding to inflation concerns ahead of the June consumer-price index and congressional testimony from Chair Kevin Warsh.