Bitcoin prices fell on Thursday, nearing the $80,000 mark, ending a brief recovery from the previous session, influenced by increasing bets on the US Federal Reserve resuming its interest rate hikes, along with pressure from mixed earnings results from technology giants.
The largest cryptocurrency fell by about 0.9% to $80,133, tracking losses in technology stocks following the sharp decline in shares of Alphabet and Samsung, which undermined risk appetite in global markets and pulled the rest of the crypto assets down, with Ethereum falling 1.5% and Solana 1.7%.
These pressures followed the Federal Reserve's decision to hold interest rates steady at 4.0%, a move opposed by two members who advocated for a 25-basis-point increase. Fed Chair Kevin Warsh's remarks, praising the strength of the economy and labor market and reaffirming the Fed's commitment to a 2% inflation target, reinforced expectations of tighter monetary policy. Markets priced in a December rate hike to nearly 80%. Simultaneously, yields on 10-year US Treasury bonds surged past 5%, increasing the opportunity cost of investing in riskier assets.
