Cryptocurrencies Decline as Bitcoin Drops to $105,900
Cryptocurrencies faced a decline on Thursday, with Bitcoin BTC dropping over 2.5% to $105,900. Altcoins experienced sharper declines:
Concerns over risk assets were heightened by President Trump's threats of renewed tariffs and escalating tensions surrounding nuclear negotiations with Iran.
Trump warned of potential conflicts involving Israel and Iran, advising Americans in the region to evacuate. He indicated that while an immediate attack is not confirmed, it remains a possibility.
While U.S. stocks managed modest gains, cryptocurrencies did not recover from the negative sentiment.
Recent economic data showed weak indicators, such as a slower pace of employment and lower inflation numbers:
- May's Producer Price Index came in softer than expected
- Initial jobless claims matched a multi-month high of 248,000
- Continuing jobless claims rose to 1.956 million, the highest since November 2021
Trump criticized Federal Reserve Chair Jerome Powell for maintaining high rates, suggesting he may push for changes despite Powell's term lasting until 2026.