Bitcoin and the broader cryptocurrency market experienced a retreat on Monday, as some traders remained cautious ahead of an upcoming Federal Reserve meeting that could indicate a prolonged period of higher interest rates.
The leading digital asset briefly fell to a one-week low on Monday before partially recovering, ultimately trading around 2% lower at $62,505 as of 12:30 PM in Singapore.
Other smaller cryptocurrencies like Ether, BNB, and XRP also saw declines.
The Depository Trust Company, a provider of settlement and clearing services in the US, announced on Friday that crypto-linked exchange-traded funds (ETFs) would not receive collateral value for line-of-credit facilities. This development raised questions about potential implications for the digital asset markets.
The demand for roughly a dozen US spot-Bitcoin ETFs has also been decreasing.
Bitcoin’s price surge in 2024 has slowed to about 47% from over 70% in mid-March, when the token reached a record high of nearly $74,000.
