---
title: "Knocked down by the Federal Reserve? Bitcoin records its first seven-day decline in eight weeks"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/222978297.md"
description: "Bitcoin recorded its first seven-day decline in eight weeks, as hawkish signals from the Federal Reserve prompted investors to sell. Bitcoin briefly fell by 5.3% to $92,149, with recent trading prices around $97,400. Market sentiment has shifted, with record outflows from ETFs. Analysts point out that Bitcoin is sensitive to macroeconomic factors and catalysts in the cryptocurrency market, and caution is advised"
datetime: "2024-12-20T23:45:02.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/222978297.md)
  - [en](https://longbridge.com/en/news/222978297.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/222978297.md)
---

> Supported Languages: [简体中文](https://longbridge.com/zh-CN/news/222978297.md) | [繁體中文](https://longbridge.com/zh-HK/news/222978297.md)


# Knocked down by the Federal Reserve? Bitcoin records its first seven-day decline in eight weeks

According to the Zhitong Finance APP, Bitcoin has recorded its first seven-day decline in eight weeks, as the Federal Reserve's hawkish signals prompted investors to sell this asset, which has doubled this year.

On Friday, Bitcoin fell by as much as 5.3% to $92,149, after reaching a historic high of just over $108,000 earlier in the week. As of Sunday, Bitcoin was down about 5%, trading at approximately $97,400 in the New York market. The decline in Bitcoin has had a more significant impact on smaller tokens like Ethereum and Dogecoin, despite the U.S. stock market performing well this week.

According to data compiled by Bloomberg, U.S. exchange-traded funds (ETFs) directly investing in Bitcoin saw a record outflow of $680 million on Thursday, ending a 15-day streak of inflows, marking a clear shift in market sentiment.

This increase in volatility stems from a rebound in crypto assets following Trump's victory in the U.S. presidential election on November 5. However, QCP Capital noted that market sentiment has become "overly optimistic," making digital assets more sensitive to changes in the Federal Reserve's stance. The Federal Reserve is intensifying efforts to bring inflation back to target levels.

With Trump set to take office and threatening to impose tariffs on U.S. allies and adversaries, uncertainty in the crypto market seems likely to persist during the holiday season. Meanwhile, the Federal Reserve may slow the pace of its easing policies, shifting market focus to the speed at which traditional financial institutions accept this asset class.

Hani Abuagla, senior market analyst at XTB, wrote in a report on Friday: "The interplay between monetary policy, institutional adoption, and political dynamics suggests that Bitcoin will remain sensitive to macroeconomic and crypto market-specific catalysts until 2025."

The number of open contracts for Bitcoin futures on the Chicago Mercantile Exchange approached historical highs on Tuesday but then retreated.

"From a technical perspective, caution is warranted in the short term," noted Chris Weston, head of research at Pepperstone Group, in a report. "This does not mean that prices are about to collapse, but it is clear that upward momentum has weakened, and buyers are losing control of the market."

### Related Stocks

- [BTC/USD (BTCUSD.VAHK)](https://longbridge.com/en/quote/BTCUSD.VAHK.md)
- [HGI BTC (03439.HK)](https://longbridge.com/en/quote/03439.HK.md)
- [Hashdex Bitcoin ETF (DEFI.US)](https://longbridge.com/en/quote/DEFI.US.md)
- [WisdomTree Bitcoin Fund (BTCW.US)](https://longbridge.com/en/quote/BTCW.US.md)
- [FA SAMSUNG BTC (03135.HK)](https://longbridge.com/en/quote/03135.HK.md)
- [BOS HSK BTC (03008.HK)](https://longbridge.com/en/quote/03008.HK.md)
- [CAM BTC (03042.HK)](https://longbridge.com/en/quote/03042.HK.md)
- [OKG TECH (01499.HK)](https://longbridge.com/en/quote/01499.HK.md)
- [AOTO Electronics (002587.CN)](https://longbridge.com/en/quote/002587.CN.md)
- [FA CSOP BTC (03066.HK)](https://longbridge.com/en/quote/03066.HK.md)
- [GBA DYNAMIC (01189.HK)](https://longbridge.com/en/quote/01189.HK.md)
- [VanEck Bitcoin ETF (HODL.US)](https://longbridge.com/en/quote/HODL.US.md)
- [ARK 21Shares Bitcoin ETF (ARKB.US)](https://longbridge.com/en/quote/ARKB.US.md)
- [Fidelity Wise Origin Bitcoin Fund (FBTC.US)](https://longbridge.com/en/quote/FBTC.US.md)
- [Bitwise Bitcoin ETF (BITB.US)](https://longbridge.com/en/quote/BITB.US.md)
- [Grayscale Bitcoin Trust ETF (GBTC.US)](https://longbridge.com/en/quote/GBTC.US.md)
- [Invesco Galaxy Bitcoin ETF (BTCO.US)](https://longbridge.com/en/quote/BTCO.US.md)
- [Trump Media & Tech - CW28 (DJTWW.US)](https://longbridge.com/en/quote/DJTWW.US.md)
- [Trump Media & Technology Group Corp. (DJT.US)](https://longbridge.com/en/quote/DJT.US.md)
- [iShares Bitcoin Trust ETF (IBIT.US)](https://longbridge.com/en/quote/IBIT.US.md)
- [FI CSOP BTC (07376.HK)](https://longbridge.com/en/quote/07376.HK.md)
- [VICTORY SEC (08540.HK)](https://longbridge.com/en/quote/08540.HK.md)
- [ProShares Ultra Bitcoin ETF (BITU.US)](https://longbridge.com/en/quote/BITU.US.md)
- [BRIGHT DAIRY (600597.CN)](https://longbridge.com/en/quote/600597.CN.md)
- [CoinShares Bitcoin ETF (BRRR.US)](https://longbridge.com/en/quote/BRRR.US.md)
- [Franklin Bitcoin ETF (EZBC.US)](https://longbridge.com/en/quote/EZBC.US.md)
- [GraniteShares 2x Long COIN Daily ETF (CONL.US)](https://longbridge.com/en/quote/CONL.US.md)
- [Phunware, Inc. (PHUN.US)](https://longbridge.com/en/quote/PHUN.US.md)

## Related News & Research

- [BTC miners are collectively turning to Bitcoin.](https://longbridge.com/en/news/281160892.md)
- [AVAX One Q4 revenue surges on Avalanche strategy, bitcoin mining, maintains 2026 revenue forecast](https://longbridge.com/en/news/281241243.md)
- [MARA Sells $1B In Bitcoin At A Loss To Pay Down Debt As Hedge Fund CIO Warns: 'Just The Beginning'](https://longbridge.com/en/news/280830715.md)
- [GameStop didn’t sell $324 million worth of bitcoin in January, filing shows](https://longbridge.com/en/news/280719670.md)
- [GameStop Didn’t Sell Bitcoin — What It Did Instead Will Anger BTC Maxis](https://longbridge.com/en/news/280775684.md)