On Monday, Bitcoin's value hovered around $82,600, marking a 2% decline over the past 24 hours, according to CoinDesk data. Other cryptocurrencies also saw losses, with ZEC dropping 7% to slightly above $1,540 and DOGE falling 5% to approximately 9 cents. SOL and HYPE each experienced declines exceeding 4%, while Ether, BNB, and XRP decreased between 2% and 4%. TRX remained unchanged.
In the oil market, Brent crude prices approached $108 per barrel after Tehran maintained its stringent demands regarding the reopening of the Strait of Hormuz, coupled with mixed signals from President Donald Trump regarding future negotiations.
The bond market saw Treasury yields rise across the board, with the five-year yield increasing by seven basis points to 5.06%. This uptick occurred as traders positioned themselves for potential U.S. interest rate hikes ahead of Wednesday's Personal Consumption Expenditures (PCE) report, a key inflation indicator for the Federal Reserve. The Nasdaq 100 futures fell by 1%, with declines led by chipmakers in Asia, and gold prices saw their largest drop in a month.
Dan Khus, chief analyst at LVRG Research, noted in an email to CoinDesk, "Bitcoin's retreat from last week's highs seems to be driven by a risk-off sentiment following a significant four-day rally, profit-taking, and a liquidation wave exceeding $500 million. This coincides with 10-year Treasury yields reaching their highest levels since 2007 and persistently high oil prices, which contribute to ongoing inflation concerns and the possibility of another Fed rate hike."
Khus also highlighted that key economic indicators this week, including Wednesday's PCE and Friday's payroll reports, could influence Bitcoin's ability to bounce back to the mid-$80,000 range or determine if rising yields and energy prices keep risk assets under pressure.