This photo taken on February 12, 2026 shows a Vietnamese cryptocurrency investor looking at the latest cryptocurrencies values on a laptop in Hanoi. AFP
Bitcoin tumbled as much as 5 percent early Monday, dropping below $65,000.
The sell-off has been driven by investors pulling out of speculative assets and concerns about future cryptocurrency regulation.
The original cryptocurrency, pitched as “digital gold,” has lost nearly half of its value since Oct. 6, when it hit a record high of $126,210.50,
“U.S. tariff policy will continue to be a source of uncertainty for markets as traders attempt to price in the implications of what is still a movable feast,” Benjamin Picton of Rabobank said in a commentary.
Discouraging reports showing slowing U.S. economic growth and accelerating inflation drew a relatively muted response.
The reports highlight the Federal Reserve's dilemma over interest rates, but did not change traders’ expectations much for what the Fed will ultimately do. Traders are still betting that the Fed will lower rates at least twice this year, according to data from CME Group.
Lower interest rates would give the economy and investment prices a boost, but they also risk worsening inflation. Fed officials said at their last meeting that they want to see inflation fall further before they would support cutting rates further.
In other dealings early Monday, the price of gold rose 1.9 percent, while the price of silver was up 5.4 percent.
