Bitcoin dropped to its lowest level in 21 months on Thursday, falling to approximately $58,000 as persistent selling pressure from exchange-traded funds and elevated interest rates continued to suppress risk appetite.
The decline occurred even after US inflation data came in line with expectations, suggesting that macroeconomic relief is currently insufficient to offset structural headwinds in the crypto market.
The price action reflects a broader deterioration in sentiment for digital assets.
According to Infomoney, the selloff was driven by a combination of sustained outflows from spot Bitcoin ETFs and the ongoing burden of high borrowing costs.
This marks a significant shift from earlier periods where positive macro data typically provided immediate support for risk assets.
Context from recent Handelsavisen coverage highlights the severity of the capital flight.