Bitcoin’s price fell on Monday, reversing course after a short-lived weekend rebound, with focus squarely on a Federal Reserve meeting this week where the central bank is expected to cut interest rates.
Cryptocurrency markets saw some losses after a second assassination attempt on Republican presidential candidate Donald Trump on Sunday, although Trump was unharmed and the assailant was apprehended. Trump has presented a pro-crypto platform.
Bitcoin fell 2.7% to $58,483.3 by 05:12 ET (09:12 GMT). The token remained squarely within a $50,000 to $60,000 trading range seen through most of the year.
Trading volumes were somewhat muted on account of market holidays in Japan and South Korea.
Fed meeting awaited, rate cut in focus
The Fed is widely expected to cut interest rates at the conclusion of a two-day meeting on Wednesday, although markets are split over the scale of the potential cut.
Traders are pricing in a 50% chance of a 25 or 50 basis point cut, CME Fedwatch showed.
But the Fed is still widely expected to kick off an easing cycle this week, with analysts expecting the central bank to reduce rates by at least 100 basis points by the end of the year.
Lower rates bode well for cryptocurrency markets, given their highly speculative nature. They were a key factor behind a crypto bull market in 2021.
But the crypto market has been grappling with an extended downturn in retail interest over the past two years, with the launch of spot exchange-traded funds for Bitcoin this year providing only a limited boost.
Trump unharmed after assassination attempt - reports
Former president Trump, who has presented a pro-crypto stance in his reelection bid, was unharmed after reports of a second attempt on his life on Sunday.
Secret service agents exchanged shots with a gunman at Trump’s golf course in Florida, from where the assailant fled and was eventually caught by authorities, media reports said.
Trump himself was far from the incident and said he was unharmed.
The shooting comes after Trump was injured in the ear in a prior assassination attempt at a rally in Pennsylvania two months ago. Crypto prices had risen sharply after the July shooting, on bets that it would improve his presidential prospects.
Crypto price today: altcoins fall
Among broader cryptocurrency prices, major altcoins also fell in tandem with Bitcoin, amid a dearth of positive cues for the sector.
World no.2 crypto Ethereum fell 4.2% to $2,311.50, while Solana, Polygon, Cardano and XRP dropped by between 0.4% and 5%.
