Bitcoin Plunges Below $78k Amid Rate Jitters and Iran Escalation

Bitcoin's price fell below $78k on Monday as concerns over rising interest rates and geopolitical tensions weighed on investor sentiment.

The world's largest cryptocurrency dropped 0.3% to $78,007.1 by 02:23 ET (06:23 GMT), hitting an intraday low of $77,396.0.

The decline was triggered by hawkish comments from Federal Reserve Chair Kevin Warsh, who said the central bank remains committed to its 2% annual inflation target.

Warsh's remarks were seen as pushing up bets that the Fed will hike interest rates by as soon as September, with markets pricing in a 60.4% chance of a 25 basis point rate increase.

The US-Iran military escalation also contributed to the downturn, with oil prices surging on the news and inflation concerns rising.