Bitcoin slips below $74,000, Ethereum falls to $2,053 as US inflation, rising Treasury yields and ETF outflows weigh on crypto markets

Bitcoin slipped below $74,000 mark and Ethereum below $2,053 on Wednesday as US inflation, rising Treasury yields and ETF outflows weigh on crypto markets. The cryptocurrency was trading at $73,813 and Ethereum at $2,050.

In the past 24 hours, Bitcoin and Ethereum were down 1.3% and 2.8% respectively. Among the major altcoins, BNB, XRP, Solana, Tron, Hyperliquid, Dogecoin, and Cardano corrected upto 3.1%.

Nischal Shetty, Founder, WazirX said both assets are now testing important support regions, although lower volatility across traditional markets suggests investors have not moved entirely away from growth-oriented assets.


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“Bitcoin is trading close to its long-term support at 73,100 - 73,500. Holding this region could help the market stabilize, while a recovery through 75,600-76,400 would improve short-term momentum. If immediate support gives way, attention may shift toward 71,800 - 72,200.”

Ethereum’s RSI near 30 indicates stretched selling momentum as price approaches support at 2,030-2,050 and the psychological $2,000 level, Shetty further said.

The global crypto market capitalisation went down 1.3% to $2.51 trillion, according to the data on Coingecko.

Vikram Subburaj, CEO, Giottus said the latest selling followed a US inflation report that showed core prices rising 0.3% in October, above the 0.2% forecast. That puts a larger December rate hike in play.

If you had planned to buy Bitcoin this week, consider making a smaller first purchase and keeping the rest in cash until after the release. That leaves room to reassess if Bitcoin revisits the overnight low near $72,700, Subburaj further said.

Over the last week, Bitcoin was down 6% and Ethereum was down 11.4%. Among the major altcoins, BNB, XRP, Solana, Dogecoin, Tron, Hyperliquid and Cardano corrected upto 17.2%.

Prateek Gupta, Head of Business, Mudrex said Bitcoin has fallen to around $73,200 as stronger-than-expected US inflation data has increased concerns over tighter monetary policy.

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Institutional demand has also weakened, with US spot Bitcoin ETFs recording $201 million in outflows on Monday, marking a third consecutive session of withdrawals. Bitcoin needs to reclaim $75,000, while $72,000 remains key support, Gupta further said.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)