Fed and BoJ Rate Hike Fears Push Bitcoin Below $28,000 Support

Bitcoin prices plummeted below the critical $28,000 psychological support level as concerns over global monetary tightening intensified. Investors are closely monitoring Fed Chair Jerome Powell’s upcoming speech at Harvard University for clues regarding future interest rate decisions. The sell-off is being exacerbated by a weakening Japanese yen and rising bond yields, which are creating additional downward pressure on high-risk assets. Furthermore, the emerging risk of a carry trade unwind involving the yen is acting as a significant headwind for the cryptocurrency market. Analysts suggest that these macroeconomic factors, combined with hawkish signals from the Fed and BoJ, are rapidly tightening global liquidity. The technical breakdown below $28,000 signals a bearish shift that could lead to further declines if broader market volatility persists.