Bitcoin Revisits Late-2020 Levels as It Suffers Fresh Selloff

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Bitcoin Revisits Late-2020 Levels as It Suffers Fresh Selloff
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This year’s rout in bitcoin deepened, with the world’s biggest cryptocurrency dropping toward $25,000

HONG KONG— amid a broader selloff fanned by concerns about rising U.S. interest rates.

Digital currencies fell over the weekend and dropped further on Monday morning in Asia, after a freshData Friday showed U.S. consumer-price inflation stood at 8.6% in May, surpassing estimates,spread to Asian share indexesBy late morning in Hong Kong on Monday, bitcoin was trading at $25,176. That was down 13.8% from its 5 p.m. ET level Friday. If that level holds through New York trading hours, that would mark the lowest end-of-day level since December 2020.

Cryptocurrencies have been moving in tandem with traditional markets in recent weeks, with a tendency to echo other risky assets such as stocks, albeit with even higher volatility.showed the public’s expectation of inflation“The public is losing confidence that the U.S. central bank will be able to push inflation lower,” he said. It would likely take a shift in Fed policy for cryptocurrencies to become very attractive again, Mr. Thielen added.

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