Bitcoin Loses Key 200-Day Average: Is $67,000 Next?

Bitcoin price fell below its 200-day moving average of $73,137 on Thursday. It's one of the most closely watched indicators in crypto because it helps investors understand whether Bitcoin's long-term price trend is strengthening or weakening.

BTC currently trades at around $71,000, nearly 3% below that critical level. If Bitcoin fails to reclaim that level, the largest cryptocurrency could fall towards $67,000, erasing all of its gains since August.

Fed Almost Certain to Hike Interest Rates

The market now widely expects an interest rate hike in December from the Federal Reserve. The latest CPI data suggested inflation is hotter than expected, which leaves no room for a rate pause.

Meanwhile, the 10-year Treasury yield returned to roughly 5%, and the dollar index neared a 19-month high, per Kitco.

Gold and Silver also fell by more than 2%.

Are Bitcoin Holders Selling?

US spot Bitcoin ETFs lost $299.8 million on Wednesday, extending five days of outflows. BlackRock's IBIT accounted for most of the exit.

Separately, index provider MSCI confirmed it will remove Strategy (MSTR), the Bitcoin treasury firm, from two US indexes.

Spot selling then accelerated once BTC lost $72,000, analyst Ted Pillows noted.