Bitcoin Slips Toward $68K as Crypto Market Loses Momentum
Cryptocurrency prices moved lower heading into the weekend, with most major tokens giving back the gains they made earlier in the week. Solana dropped around 4%, ether fell 4.4%, and on-chain data shows that about 43% of bitcoin’s circulating supply is currently sitting at a loss.
Bitcoin (BTC) was trading near $67,960 by Saturday morning, marking a 3.4% decline over the past 24 hours. The drop represents a sharp retreat from the week’s earlier highs and continues a pattern seen in recent months, where late-week selling pressure pushes prices toward the bottom of their trading range before the weekend.
Other large cryptocurrencies experienced steeper losses. Ether slipped 4.4% to about $1,974, while solana declined 4% to $84.31. Dogecoin dropped 2.9% to roughly $0.09, BNB fell 2.6% to $627, and XRP lost 2.2%, trading near $1.37.
Despite the recent pullback, the broader weekly trend still shows modest gains. Bitcoin remains up roughly 3.6% over the past seven days, while ether has gained about 2.6%. BNB has also posted a weekly rise of around 2.1%. The mid-week rally helped the market recover from the initial shock caused by rising geopolitical tensions, although the latest decline reduced some of those gains.
At the same time, the U.S. dollar recorded its strongest weekly performance in a year. The currency strengthened as investors priced in higher energy costs, persistent inflation pressures, and the possibility that the Federal Reserve may delay cutting interest rates.
Björn Schmidtke, CEO of Aurelion, said the shift toward the dollar reflects growing caution among investors.
“As tensions escalated in the Middle East last week, investors quickly turned to the U.S. dollar as a safe haven,” Schmidtke said in comments to CoinDesk. “Markets are now pricing in higher energy prices and renewed inflation concerns, which could delay potential interest rate cuts by the Federal Reserve.”
A stronger dollar typically puts pressure on assets priced against it, including cryptocurrencies.
On-chain metrics also suggest the market remains fragile. Data from Glassnode indicates that around 43% of bitcoin’s supply is currently underwater, meaning those coins were purchased at prices higher than today’s levels.
This can create a barrier to sustained price increases. Investors holding losses often sell when prices rise back toward their entry levels, adding supply to the market. That dynamic likely contributed to bitcoin’s inability to hold its move toward $74,000 earlier in the week, as selling pressure appeared near higher price levels.
One positive sign came from stablecoin activity. According to Messari, net stablecoin inflows surged by 415% during the past week, reaching $1.7 billion. Daily transfer volumes also increased by nearly 10%.
These inflows could represent capital waiting on the sidelines, suggesting that investors still have liquidity available despite the cautious market sentiment. Whether that money will flow into bitcoin soon or remain parked while traders wait for lower prices remains unclear.
Geopolitical developments continue to shape market sentiment. The conflict between the United States and Iran remains unresolved, oil prices are elevated, and disruptions in the Strait of Hormuz are still affecting global energy flows.
Combined with a stronger dollar, persistent inflation concerns, and expectations that interest rate cuts may be delayed, the broader macroeconomic environment remains challenging for risk assets.
Although bitcoin briefly surged to $74,000 earlier in the week, the move ultimately resulted in another round trip within the same range. The climb from roughly $68,000 to $74,000 and back again highlights a market that remains stuck in a familiar trading band rather than establishing a clear new trend.
