Fourth day in the red: BTC loses value to $94 thousand

Bitcoin is down for the fourth day in a row, falling to $94 thousand after a recent record of $108 thousand. The Fed announced only two rate cuts instead of four, which provoked a drop in the cryptocurrency market.

On Tuesday, Bitcoin fell for the fourth day in a row, which was the result of the fading of the rally caused by Donald Trump's victory in the presidential election. This decline has intensified after the Federal Reserve's position announced last week.

Writes UNN with reference to Investing.

As of 00:22 Eastern Time (05:22 GMT), bitcoin fell 2% to $94,159.4. The previous day, the price had fallen below $93,000.

Last week, the token fell below the key $100,000 level for the first time since November, amid comments from Fed officials about the slowdown in interest rate cuts.

Overall, Bitcoin has lost ground six times in the past seven days. A post-election rally lifted Bitcoin to an all-time high of $108,244.9, but profit-taking and macroeconomic pressures have pushed the price down sharply. Despite cutting rates by 25 basis points, the Federal Reserve has only announced two rate cuts next year, down from four previously forecast. This has forced investors to reconsider their strategies for speculative assets such as Bitcoin, which has further depressed its price.

As cryptocurrency prices fell, shares of related companies also lost value. On Monday, MicroStrategy shares fell 9%, Coinbase Global Inc – 4%, and Riot Platforms – also showed a decline. MicroStrategy came under additional pressure after announcing the sale of 1.3 million shares to buy 5,262 bitcoins.

Thus, the situation in the cryptocurrency market remains tense, and investors are reviewing their positions in the face of macroeconomic uncertainty.

Shares of MicroStrategy Incorporated fell almost 9%, and Coinbase Global Inc lost 4% of its value. Riot Platforms shares also fell. In addition, MicroStrategy came under additional pressure after announcing the sale of 1.3 million shares to buy 5,262 bitcoins.

Among the leading bitcoin miners, Marathon Digital Holdings Inc. shares fell 3.6%.

Meanwhile, other cryptocurrencies showed gains on Monday. However, the pace of growth remained limited due to subdued demand for speculative assets after the Federal Reserve's hawkish policy statements affected investor sentiment.

Ethereum, the second-largest cryptocurrency by market capitalization, rose 3.2% to $3,431.48. Despite a previous decline last week, it has been showing a recovery in the last two days.

XRP, the third most valuable cryptocurrency, added 3.1% to reach $2.2627.

Among other assets, Solana rose 3.4%, Polygon rose 5%, and Cardano – 2%. Among the meme cryptocurrencies, Dogecoin rose 1.8%.