Bitcoin Tumbles Below $84,000 as Macro Fears Grip Crypto Market

The crypto market experienced a significant sell-off as Bitcoin dropped below $84,000 and Dogecoin led the losses among major tokens. The price of Bitcoin fell more than 2% in 24 hours to around $83,900, while Dogecoin lost 7% to just above 9 cents.

The sell-off was triggered by rising U.S. borrowing costs, which are pressuring digital assets. Stronger business activity, higher oil prices, and weak demand at a Treasury note sale lifted yields, making it more expensive for investors to hold non-yielding assets like Bitcoin.

According to CoinDesk data, the 10-year U.S. Treasury yield closed Wednesday at 5.11%, up 15 basis points in a day. Brent crude also reversed course and climbed over 4% to nearly $104 a barrel, ending a six-session slide that had been easing inflation concerns.

The positioning of traders ahead of Friday's roughly $14 billion options expiry suggests that they are closely watching whether further macro-driven pressure spills into options-related volatility. Mauricio Di Bartolomeo, co-founder of Ledn, previously flagged a large block of call options ahead of the Deribit expiry at a strike level around $85,000.