Key Highlights:
- Bitcoin fell to about $69,000, its lowest level since Aug. 19, as the latest quarterly decline reached 17%.
- Ether dropped below $2,000 for the first time since August, while XRP traded near $1 and Solana fell below $80.
- The U.S. Dollar Index rose above 103 to its highest level since April 2025, increasing pressure on liquidity-sensitive cryptocurrencies.
Bitcoin Sell-Off Accelerates as Dollar Strengthens
Bitcoin’s sell-off gathered pace early Friday as the U.S. dollar reached its highest level since April 2025 against a basket of major fiat currencies. Bitcoin fell from $69,290.10 to around $69,000, according to CoinDesk data, marking its lowest price since Aug. 19.
The leading cryptocurrency by market value has now declined 17% this quarter. The drop has erased a substantial portion of the rally recorded during the preceding three months, putting renewed focus on the impact of macroeconomic conditions on digital-asset prices.
Ether, XRP and Solana Also Decline
The broader cryptocurrency market also came under pressure. Ether, the second-largest token by market value, fell below $2,000 for the first time since August. XRP traded close to $1, while Solana moved below $80.
Several smaller tokens recorded steeper losses. GT, Stacks and XMR each fell by 7% or more as selling spread beyond the largest digital assets. The broad decline indicated that weakness was affecting multiple segments of the cryptocurrency market rather than being limited to Bitcoin.
Dollar Index Rises Above 103
The sell-off intensified as the Dollar Index, or DXY, traded above 103. The index measures the U.S. dollar’s exchange rate against a basket of major fiat currencies and has risen by nearly 2% since early October.
A stronger dollar can add pressure to risk-sensitive markets by tightening financial conditions. In the latest move, the dollar’s advance was linked to increasing expectations that the Federal Reserve could raise interest rates, creating an additional headwind for liquidity-sensitive assets such as cryptocurrencies.
Fed Rate Expectations Weigh on Crypto
Expectations for a half-percentage-point Federal Reserve interest-rate increase in December have strengthened after the release of a hotter-than-expected U.S. consumer price index reading for October earlier this week.
Those expectations have contributed to the shift in market sentiment. Higher potential interest rates can reduce demand for assets that depend heavily on abundant liquidity, adding to the pressure already visible across Bitcoin, Ether, XRP, Solana and smaller tokens.
Why This Matters
Bitcoin’s decline shows how quickly cryptocurrency markets can respond to changes in the U.S. dollar and Federal Reserve policy expectations. The simultaneous losses across major and smaller tokens suggest that the current pressure is broad-based, while the latest quarterly decline has reversed a significant part of Bitcoin’s previous three-month rally.
Frequently Asked Questions
How low did Bitcoin fall?
Bitcoin fell to around $69,000, its lowest level since Aug. 19, according to CoinDesk data.
Which other cryptocurrencies declined?
Ether fell below $2,000, XRP traded near $1 and Solana dropped below $80. GT, Stacks and XMR were among the smaller tokens down 7% or more.
Why is the stronger U.S. dollar affecting cryptocurrencies?
The Dollar Index rose above 103 as expectations for Federal Reserve rate hikes increased. The stronger dollar and tighter liquidity conditions can weigh on risk-sensitive assets, including cryptocurrencies.
