Solana, Ether and XRP were among the major cryptocurrencies to suffer steep losses after US airstrikes on Iran prompted investors to move away from riskier assets.
Every large-cap token recorded a decline over the 24-hour period, with high-beta cryptocurrencies losing about three times as much as Bitcoin. Solana and Tron both fell by more than 3%, while Bitcoin dropped by roughly 1% to trade at about $77,500.
The retreat came as rising oil prices and higher government bond yields added to pressure across financial markets. Investors reduced exposure to assets considered more vulnerable to sudden changes in economic expectations, with cryptocurrencies among the first areas affected.
Ether and XRP were also among the leading major tokens to decline, contributing to a broad-based fall across the digital-asset market. The move reflected a wider risk sell-off rather than weakness confined to one individual cryptocurrency.
Market expectations for US interest rates have also shifted. Traders are now pricing in a 66% chance that the Federal Reserve will raise borrowing costs in September. Higher interest rates typically make riskier investments less attractive, as returns on safer assets such as government bonds become more competitive.
Bitcoin’s next major test could come with Friday’s US jobs report. Strong employment figures may reinforce the case for a September rate increase, potentially placing further pressure on high-risk cryptocurrencies and making it more difficult for Bitcoin to move above $80,000.
The report is therefore being closely watched by traders assessing whether Bitcoin can recover from its decline and extend its move towards the $80,000 level. A stronger-than-expected labour market reading could support expectations of tighter monetary policy, while the broader market remains sensitive to developments in oil prices, bond yields and geopolitical risk.
The latest sell-off followed the US strikes on Iran, which added another source of uncertainty to markets already responding to changing interest-rate expectations. Oil prices rose after the attacks, while government bond yields moved higher, creating conditions in which investors began cutting positions in more speculative assets.
Although Bitcoin’s decline was relatively limited compared with the losses recorded by Solana, Tron and other high-beta major tokens, the broader fall showed that the cryptocurrency market remained exposed to global risk sentiment. With all large-cap tokens lower over the period, traders now face a combination of geopolitical tension, higher energy prices and the possibility of tighter US monetary policy.
For Bitcoin to break above $80,000, Friday’s jobs data may prove crucial. A strong result could increase pressure on speculative digital assets by strengthening the argument for a Federal Reserve rate rise, while the market’s reaction will help determine whether the recent pullback develops into a deeper decline or begins to stabilise.
