Bitcoin dropped to $67,000, lowest since 2024, due to selling pressure as Treasury Secretary Bessent ruled out US intervention. Bessent confirmed the US Treasury lacks authority to buy bitcoin. Michael Burry warned of a potential “death spiral” in the market. Bitcoin down nearly 20% year-to-date. Market sentiment remains negative.

The recent slump in bitcoin followed Bessent’s comments and broader market pressures. Notable investor Michael Burry warned of potential value destruction. Bitcoin’s decline coincided with President Trump’s announcement of Kevin Warsh as Fed chair nominee. Ether and other digital tokens also slid in response. Market sentiment remains bearish.

10X Research strategists noted a shift in sentiment and lack of urgency to buy the dip. Traders focused on deleveraging rather than preparing for a rebound. Pressure on digital assets reflects market fragility and ongoing downtrend. Bitcoin struggled since October amid whale selling and forced liquidations. Market sentiment remains cautious.

Fundstrat’s Farrell sees mid-$70,000 as key support level. Recent capitulation creates attractive risk/reward for near-term investments. Warns of potential impact from traditional market positioning risks. Ines Ferre is a senior business reporter for Yahoo Finance. Follow her on Twitter at @ines_ferre. Stay updated with the latest financial and business news from Yahoo Finance.

Read more at Yahoo Finance: Bitcoin price sinks below $67,000 after Bessent says the US government can’t tell banks to bail out crypto