Bitcoin loses value amid stock market correction

by in Cryptocurrency News


Most experts agree that in the middle of this week the US Federal Reserve System will once again raise the discount rate.

Investors are redistributing their portfolios in favor of the dollar. The US dollar index is growing for the second day in a row.

In parallel, there is a correction in the stock market and a rollback of cryptocurrencies. Capital is coming out of tech stocks and blockchain-related companies. During the Asian session on July 26, the Bitcoin exchange rate fell by 5.4% to $21,044.

Altcoins are also losing value. At the time of this review, Ether (ETH) and Binance Coin (BNB) have dropped to $1,411 and $243, respectively. The capitalization of the crypto market fell on Tuesday to $965.052 billion.

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The MVIS CryptoCompare Digital Assets 100 Index, which tracks the performance of the top 100 cryptocurrencies, is down more than 4% today.

Bloomberg analysts remind that risk appetite usually declines before a possible Fed rate hike. Experts do not exclude that the rate will increase by 0.75%.

In the coming weeks, the largest digital currency is likely to trade in the range of $19,000 to $22,000, experts predict.