Bitcoin Tumbles as Oil Prices Surge and Fed Pauses Rate-Cutting Cycle

Bitcoin's price has been under pressure due to a combination of factors, including rising oil prices and the Federal Reserve's decision to pause its rate-cutting cycle. The US central bank left interest rates unchanged at 3.50-3.75%, which boosted the US dollar and put downward pressure on risk assets.

The impact was felt across various markets, with Nasdaq 100 futures declining by around 0.3% since midnight UTC. Crypto markets were also affected, with Bitcoin trading near $70,000 after losing 1.6% of its value in the past 24 hours. Ether's price dropped by 1.7% to $2,160.

Futures positioning data revealed a significant increase in bearish bets, with over $600 million in leveraged crypto futures bets being liquidated in the past 24 hours. The majority of these losses were due to long positions, indicating that bulls were caught off guard by the price drop.