Bitcoin Crashes Amid Interest Rate Fears and ETF Outflows

Bitcoin plummeted to $62,281.0 on Tuesday as investors grew increasingly anxious about rising U.S. interest rates and persistent institutional selling.

The cryptocurrency's value fell by 2.9% in a single day, tracking the broader crypto markets that were spooked by hawkish signals from the Federal Reserve last week.

Bitcoin ETF outflows continued for the sixth straight week, with nearly $160 million pulled from spot exchange-traded funds this week alone, according to data from SoSoValue.

The pace of outflows has slowed in recent weeks but still indicates a fragile demand for crypto and crypto products among institutional investors.