Bitcoin falls to six-week low due to war and ETF outflows
Kyiv • UNN
The value of Bitcoin dropped to $73,294 amid the conflict between the US and Iran. Approximately $1.5 billion was withdrawn from US ETFs in May.
Bitcoin has dropped to its lowest level in more than six weeks amid investor concerns over the conflict between the US and Iran, as well as outflows from cryptocurrency ETFs in the US. This was reported by Bloomberg, according to UNN.
Details
During trading in Singapore, the value of Bitcoin fell by 2.5% to $73,294, the lowest level since April 14. Ethereum lost more than 4% and dropped to $1,970—a nearly two-month low.
Analysts attribute the crypto market decline to inflation fears and potential interest rate hikes due to the escalating situation in the Middle East. Additional pressure was created by an outflow of approximately $1.5 billion from US spot Bitcoin ETFs in May.
"Bitcoin's weakness seems to be largely related to macroeconomic factors rather than the cryptocurrency itself,"
According to IG Markets analyst Tony Sycamore, traders are taking a cautious stance and reducing risk bets due to uncertainty surrounding the conflict between the US and Iran.