Hedera's Price Swing Tied to Broader Crypto Selloff
Hedera's price swing over the last 27 hours is largely due to a broad macro-driven crypto selloff, not specific news about the asset.
The approximately 3.1 percentage point move is in line with the total crypto market cap, which fell about 3.9% over the last 24 hours.
This sell-off is attributed to fading optimism about the US Digital Asset Market Structure CLARITY Act and traders bracing for a Federal Reserve rate hike and very high Treasury yields.
Bitcoin dropped around 3-5% on September 15, with several articles tying the move to the CLARITY Act losing momentum and the upcoming Fed decision.
The 10-year US Treasury yield pushed above 5% for the first time since before the Global Financial Crisis, while oil traded above $100 per barrel, reviving inflation concerns and tightening financial conditions for risk assets.
Derivatives liquidations and 'sell the basket' flows also contributed to the sell-off, with around $200 million to $300 million in crypto long positions being liquidated across perpetual futures in the last 24 hours.