Market Downturn: US-Iran Tensions and Hawkish Fed Send Bitcoin to $64K

The global market experienced a downturn due to renewed tensions between the US and Iran, combined with the Federal Reserve's hawkish stance on interest rates. The Fed maintained its current rate of 3.50%-3.75%, but three regional presidents voted in favor of a 25-basis-point hike. This move, along with concerns over AI investment returns, weakened market risk appetite.

As a result, all three major US stock indices declined, with technology and semiconductor sectors under pressure. Qualcomm fell more than 5%, Meta dropped sharply by 8%, while Microsoft surged 8% on better-than-expected earnings. The 30-year US Treasury yield surged 11 basis points to above 5.2%, reaching its highest level since June 2007.

The crypto market also faced pressure, with Bitcoin gradually stabilizing at around $64,000 after previously testing $62,800. However, the rebound remains modest, with limited directional momentum. The Fear & Greed Index dropped to 28 from 29.