Crypto Market Melts Down as Fed's Inflation Gauge Hits 3-Year High

The cryptocurrency market continued to decline on Thursday, with Bitcoin (BTC) falling below $59,000 and Ethereum plummeting to an intraday low of $1,531. XRP and Dogecoin also extended their losses, with prices down 4.04% and 3.11%, respectively.

The market capitalization dropped by 2.22% over the last 24 hours, reaching $2.09 trillion. Over $890 million was liquidated from the cryptocurrency market in the same period, with long position traders bearing the brunt of the losses.

Crypto-related stocks also took a hit, with Strategy Inc. (MSTR) and Bitmine Immersion Technologies Inc. (BMNR) closing down 9.44% and 4.99%, respectively. The CME Group's FedWatch tool showed traders pricing a 48% chance of the Federal Reserve increasing rates during the September meeting.