Crypto market slides as Nasdaq tech rout spills into digital assets
Bitcoin fell 2.5% and ether dropped over 4% as a selloff in Nasdaq tech stocks weighed on risk assets, with altcoins and liquidations amplifying the downturn.
The crypto market fell sharply on Tuesday as a selloff in technology stocks on the Nasdaq spilled over into digital assets, with bitcoin dropping 2.5% to $62,300 and ether tumbling over 4% to $1,650 since midnight UTC.
The downturn follows Monday's decline in tech stocks, with Nasdaq 100 futures falling another 2.5% overnight, signaling further weakness. Profit-taking and concerns over rising bond yields are driving the selloff, according to Patrick Munnelly, market strategy partner at TickMill. Altcoins suffered even steeper losses, with tokens like Ethena (ENA) and HYPE losing 5%-6%, while $717 million in liquidations across the market exacerbated the moves.
For crypto traders, the correlation with tech stocks highlights the influence of traditional risk sentiment on digital assets. Rising US Treasury yields and a stronger dollar typically weigh on speculative assets, and the current selloff reflects that dynamic. Traders can monitor these moves in real time on NowPrice's live crypto dashboard to track bitcoin, ether, and altcoin prices as the market reacts to broader macro pressures.
Looking ahead, the focus will be on upcoming US economic data, including jobless claims and GDP figures, which could influence Fed rate expectations and further impact risk assets. The Nasdaq futures trajectory and any shifts in bond yields will be key signals for crypto traders watching for a potential reversal or deeper correction.