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Bitcoin Drops Below $100,000 Amid Tech Selloff
The cryptocurrency market experienced a significant downturn as Bitcoin's price fell below the $100,000 mark. According to CNBC, this decline was driven by a broader sell-off in tech stocks influenced by Chinese startup DeepSeek’s announcement of an affordable AI model. The Nasdaq index also saw a 3% drop, with shares of Coinbase and MicroStrategy falling approximately 6% and 1%, respectively. Additionally, bitcoin miners like Core Scientific and Terawulf suffered losses exceeding 29%. This situation highlights the strong correlation between digital assets and the technology sector.
Arizona Senate Committee Approves Strategic Bitcoin Reserve Bill
A new legislative development has emerged from Arizona where the state Senate Finance Committee approved a bill allowing public funds to be invested in Bitcoin. As reported by Crypto Briefing, this measure permits up to 10% of public funds to be allocated into virtual currencies such as Bitcoin. Co-sponsored by Wendy Rogers and Jeff Weninger, this initiative marks Arizona as potentially the first U.S. state to officially invest government-held funds in cryptocurrencies if passed through further legislative stages.
Impact of Declining Short-Term U.S. Treasury Yields on Bitcoin Prices
An analysis published by Bitcoin Magazine explores how recent shifts in U.S. Treasury yields could influence Bitcoin prices amidst economic uncertainties. While short-term yields are declining—suggestive of potential Federal Reserve rate cuts—long-term yields continue rising due to inflation concerns or fiscal deficits expectations. These dynamics may enhance Bitcoin's appeal both as an inflation hedge and within risk-on investment environments given its decentralized nature.
Potential 'Double Top' Pattern Signals Possible Price Slide for Bitcoin
Citing technical chart patterns, CoinDesk warns that BTC might face further declines towards $75,000 should it confirm a bearish reversal pattern known as 'double top'. Currently trading around $100,000 after failing previous highs near December levels at about $108K; breaking neckline support positioned roughly at $91K would indicate trend change confirmation according analysts using measured move methods predicting subsequent drops accordingly based upon historical data trends observed previously across similar scenarios.
Sources:
- Bitcoin drops below $100,000 in risk-off move as Nasdaq stocks are hit
- Arizona Senate committee approves strategic Bitcoin reserve bill
- How Declining Short-Term U.S. Treasury Yields Impact Bitcoin Price
- Bitcoin May Be 'Double Topping' for a Price Slide to $75K
- Coinbase CEO Predicts Bitcoin's Surge Into Multiple Millions
- Bitcoin drops to 11-day low amid tech selloff
