The cryptocurrency market experienced a significant decline of 5-10%, with Bitcoin dropping below $92,000. This downturn is attributed to concerns over a potential rate hike by the Bank of Japan and tightening liquidity conditions. The market's fear and greed index has shifted towards fear, indicating increased macroeconomic stress.
The selloff is occurring alongside the December 19 options expiry and reduced risk-asset flows. Bitcoin is currently testing the $86,000 support level, with the possibility of further declines to $74,000 if the market continues to weaken.
Crypto Market Declines 5-10% Amid BOJ Rate Hike Concerns
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