Live markets: Bitcoin, stocks, bonds sharply lower as Fed's Waller signals near-term rate hike

Bitcoin experienced a modest decline on Monday, falling about 1.4% over 24 hours to approximately $62,800 after dropping from around $64,300 during the Asian trading session. This move was part of a typical fluctuation within Bitcoin’s broader recent trading range of roughly $59,000 to $66,000, characterized mainly as a leverage flush rather than a reaction to new market-driving news. The volume of liquidations was relatively minor, about one-sixth of the market’s worst liquidation level recorded over the past month.

Meanwhile, South Korean memory chipmaker SK Hynix saw its shares fall following its U.S. trading debut, attributed to profit-taking and the transition into new American depositary receipts. The stock has experienced a notable correction, declining more than 30% from its June high after an extraordinary rally that lifted it more than 25-fold since the end of 2022. Although the movements of Bitcoin and SK Hynix are not directly connected, both have trended downward in recent weeks.

The common factor linking Bitcoin and tech-related assets such as chip stocks is their sensitivity to risk appetite in global markets. Bitcoin remains the highest-beta asset within the crypto sector, and analysts at Anchorage Digital estimate that about 30% of the recent selling pressure on Bitcoin can be attributed to capital shifting toward AI-related investments. Market participants are closely watching upcoming key events, notably the June inflation report due on July 14 and the Federal Reserve’s policy meetings scheduled for July 28 and 29.

The outcomes of these events are expected to significantly influence whether risk assets, including cryptocurrency and technology stocks like SK Hynix, will find support or face further downward pressure. Investors are positioning cautiously ahead of this economic data and Fed announcements, which are likely to shape market direction in the near term.