Bitcoin continues to weaken as the U.S. Federal Reserve signals the possibility of additional interest rate hikes in the second half of the year. Some analysts predict that the prolonged high-interest rate environment and a strong stock market may limit Bitcoin's potential for growth in the near term.
According to CoinMarketCap, as of 8 a.m. on June 18, Bitcoin was trading at $64,237, down 2.24% from the previous day.
Major altcoins also experienced declines. At the same time, Ethereum was trading at $1,738.88, a decrease of 3.09%. Ripple (XRP) fell 2.64% to $1.18, while Solana dropped 2.43% to $71.81. Binance Coin (BNB) was down 0.99% at $599.57. Tether remained stable at $0.99.
Market sentiment has soured for risk assets like Bitcoin following the Fed's hawkish stance. Although the Fed decided to keep interest rates unchanged, it hinted at the possibility of further increases later this year. The median forecast for the federal funds rate by the end of the year has risen to 3.8%, up from 3.4% in March.
Some experts are expressing caution regarding Bitcoin's long-term return potential. Mark Hulbert, a senior columnist for MarketWatch, recently predicted in a column that Bitcoin's price could stabilize around $120,000 (approximately 181.5 million won) in 100 years. He noted that as Bitcoin's supply approaches its limit, the growth rate of the network may slow, which could in turn reduce the pace of value appreciation.
Meanwhile, at the same time on the domestic exchange Bithumb, Bitcoin was trading at approximately 96,939,000 won ($63,545), down 0.93% from the previous day. The so-called 'Kimchi Premium,' which reflects the difference between domestic and international prices, was at -1.211%.
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.