Bitcoin Slumps to $77,800 Amid Fed Rate Hike Fears

Bitcoin's price has fallen by about 0.7% over the past 24 hours to around $77,800 on August 31.

The decline comes as global markets react to Federal Reserve Chair Kevin Warsh's speech at Jackson Hole on Friday, where he indicated that further monetary tightening could be needed to bring inflation back down to the Fed's 2% target.

As a result, the implied probability of another Federal Reserve rate increase has climbed to around 57%, with the two-year US Treasury yield reaching its highest level in over a month.

The rise in yields has weighed on other risk assets, including Asian equities and US stock futures, which are trading lower as markets adjust to the prospect of tighter monetary policy.