Bitcoin drops below $68,000, ETFs drain $64 million, Asian stocks fall

Bitcoin and Asian stock markets fell in Tuesday trading, while prices for safe-haven U.S. Treasurys rose.

According to provisional data published by FarSide Investors, the U.S.-listed spot Bitcoin ETF recorded cumulative outflows of more than $64 million on Monday, its first loss since May 23. ETF inflows have been strong recently, but market chatter is that this is due to growing institutional interest in non-directional underlying trades, rather than outright bullish bets.

Bitcoin, the most valuable cryptocurrency by market capitalization, fell more than 2% to $67,900, continuing its retreat from a recent high near $72,000. Ethereum, the second largest cryptocurrency, also followed the trend, briefly falling below $3,550. The broad CoinDesk 20 index was down 1 percent at 2,370.

  Among traditional markets, Chinese stocks fell more than 1 percent, leading declines in Asian stock indexes. This was largely due to ongoing housing market concerns and reports that the Bank of Japan may cut its liquidity-boosting bond buying program this week.

The dollar index extended a two-day rally, showing a gauge of the greenback against a basket of major fiat currencies. At the same time, prices of so-called safe-haven Treasurys rose, pushing yields lower. The yield on the benchmark 10-year Treasury note fell three basis points to 4.45 percent, according to charting platform TradingView.

In addition, the surprise election in France has caused additional market uncertainty, while the recent gains of right-wing parties in the European elections and the surprise election announced in France have renewed concerns about the cohesion of the EU.

U.S. consumer price data and the Federal Reserve's interest rate decision on Wednesday are keeping investors on their toes. At Wednesday's FOMC meeting, the central bank will release its latest quarterly forecasts, including the interest rate dot plot (forecast).

In summary, both Bitcoin and Asian stocks have been weak in recent trading. The market is digesting a large outflow of cryptocurrency ETFs in the United States, which is putting double pressure on cryptocurrencies and Asian equities. Investors continue to focus on upcoming economic data and central bank decisions, which will have a significant impact on the market. In these uncertain times, a conservative investment strategy may be safer.