Bitcoin saw a decline from its one-month peak as WTI crude oil prices surpassed $85 for the first time since June, reigniting concerns about inflation and driving investors towards gold, silver, and the relative security of bitcoin over altcoins.
By Oliver Knight, Omkar Godbole|Edited by Sheldon Reback Jul 22, 2026, 10:33 a.m. 4 min readMake preferred on ShareShare this articleCopy linkX (Twitter)LinkedInFacebookEmailMake preferred on Bitcoin price (CoinDesk Data)SummaryShow- Bitcoin dropped below $66,000 after reaching its highest price in over a month on Tuesday, driven down by rising oil prices that revived inflation worries.
- A shift towards safer assets was evident in the crypto market as bitcoin's market share grew to 59%, with funds moving away from altcoins and stablecoins.
- Midnight (NIGHT) saw a notable increase of 19% after being praised by Charles Hoskinson on X, while ether.fi, ethena, and ondo continued their upward trend as interest in tokenized real-world assets persisted despite the cautious macroeconomic landscape.
The cryptocurrency market experienced a slight downturn on Wednesday, with bitcoin BTC$65,973.63 declining approximately 0.9% since midnight UTC to $65,900, while ether (ETH) fell 0.5% to $1,920.
This pullback followed a surge to its highest level in over a month on Tuesday, with profit-taking being a likely reason for the decline.
The recent rise in WTI crude prices played a significant role in this shift, as the U.S. oil benchmark crossed $85 per barrel for the first time since June 12 amidst escalating tensions in Iran, which reignited inflation fears that have impacted risk assets throughout the year.
Futures for the Nasdaq 100 and S&P 500 both declined, while gold rose by 0.95% to $4,118 and silver gained 1.2%, indicating a shift towards safer investments.
This demand for security was reflected in the crypto sector as well, with bitcoin's market dominance increasing to 59% as investors moved funds from altcoins and stablecoins back into the safety of the leading cryptocurrency.
Derivatives Positioning
- Market Activity Slows: In the last 24 hours, trading volume decreased by 12% to $150 billion, while open interest (OI) remained steady at around $116 billion. With liquidations totaling just $165 million, it seems the market is taking a pause.
- Long/Short Ratio Tightens: The long/short ratio for the past 24 hours is at 50.59/49.41, indicating a tighter and more uncertain sentiment compared to the previous day. This ratio reflects the number of accounts that are net-long versus net-short, suggesting that the bullish sentiment observed yesterday is waning.
- Short Interest Builds in HYPE: The HYPE token from Hyperliquid has seen a decline of over 6% in the past 24 hours, marking it as one of the largest losers among major tokens. This drop coincides with a significant increase in futures open interest to 42.8 million HYPE, the highest since June 4. With slightly negative annualized perpetual funding rates and a negative cumulative volume delta (CVD), this indicates a clear inclination towards short positions, as traders expect a further price drop.
- Bearish Momentum Continues in XLM: XLM futures' open interest has risen for three consecutive days, reaching 1 billion tokens. The token is also experiencing a negative 24-hour CVD, indicating that bearish traders are actively shorting through market orders rather than limit orders, which explains why it has struggled to maintain gains above 19 cents for the second day in a row.
- Steady Open Interest in Top Assets: Open interest in BTC and ETH has remained stable over the past 24 hours, suggesting minimal changes in positions or conviction despite the decline from Tuesday’s highs.
- Broad-Based Bear Leadership: Most major cryptocurrencies, apart from XMR, XAUT, and HBAR, are displaying negative 24-hour CVDs, indicating a market environment dominated by bearish sentiment, with sellers outnumbering buyers at current levels.
- Rising Volatility Expectations: The 30-day implied volatility index for bitcoin (BVIV) has risen to 40% from 37.5%, indicating that traders are willing to pay more for protection as they foresee increased price fluctuations ahead. The ether volatility index (EVIV) is also showing signs of heightened activity.
- Demand for Upside Exposure in Options: BTC calls are leading the volume rankings on Deribit, with significant activity concentrated in the $70,000 and $72,000 contracts. This suggests that some traders are optimistic about the future despite the current downturn. Additionally, ether options are showing a preference for calls, with the $3,000 strike being the most actively traded contract in the past 24 hours.
Token Talk
- Dash (DASH) was the worst performer on Wednesday, dropping 4.1% since midnight UTC to $33.44, with hyperliquid (HYPE) following closely behind with a 3.42% decline to $58.79 as the decentralized exchange's token continues to retract from last month's highs.
- Midnight (NIGHT) was the top gainer over the past 24 hours, surging by 19% after a selloff on Monday, with Charles Hoskinson, founder of Cardano, calling the project on X an “incredible ecosystem with wonderful technology.”
- Ether.fi (ETHFI) and ethena (ENA) also defied the broader market weakness, rising 2.63% and 1.27%, respectively, as they continued their strong performance among DeFi tokens.
- Ondo ONDO$0.4107 has been one of the more interesting movers this week, increasing by 26% over the past seven days to $0.40 as tokenized real-world assets draw speculative interest despite a challenging macroeconomic environment.
- CoinMarketCap's Altcoin Season indicator now reads 50/100, a slight decrease from last week's peak as investors shift their focus back to bitcoin.
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TRON Network - Q2 2026
TRON Network - Q2 2026
In Q2; TRON's stablecoin dominance rose to 28.7%, USDT supply on TRON hit $89B ATH, $89M in protocol fees (2nd to Hyperliquid), TRX +3%, and deepening institutional & agentic reach.
By CoinDesk Research21 hours agoCommissioned byTronIn Q2; TRON's stablecoin dominance rose to 28.7%, USDT supply on TRON hit $89B ATH, $89M in protocol fees (2nd to Hyperliquid), TRX +3%, and deepening institutional & agentic reach.
Why it matters:
In Q2; TRON's stablecoin dominance rose to 28.7%, USDT supply on TRON hit $89B ATH, $89M in protocol fees (2nd to Hyperliquid), TRX +3%, and deepening institutional & agentic reach.
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