Bitcoin's recent volatility has led to a wave of deleveraging, with futures open interest declining and altcoins experiencing a drop of over 5%. Traders are increasingly anticipating a Federal Reserve rate cut in December, with futures indicating an 87% probability. This expectation has put pressure on U.S. Treasury yields and the dollar.
In related developments, Cyber Monday sales reached a record $14.25 billion, marking a 7.7% increase from the previous year, highlighting robust consumer demand. Privacy coin ZEC saw a significant decline, dropping 33% over the past week, while leveraged crypto ETFs have suffered losses exceeding 80% from their peaks. Additionally, MicroStrategy's mNAV metric fell below 1.15, raising concerns about potential Bitcoin sales or hedging strategies.
Bitcoin Volatility Triggers Deleveraging Amid Rising Fed Rate Cut Odds
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