Analysis: Bitcoin's drop below $67,000 indicates bearish sentiment prevails, and deleveraging in the derivatives market continues to intensify.

Odaily Planet Daily reports that bearish sentiment dominates the cryptocurrency market, with Bitcoin and Ethereum continuing their decline. In the past 24 hours, Bitcoin fell approximately 2.4% to around $66,900, while Ethereum fell approximately 2.7%, breaking below the $2,000 mark. On the macro front, a weakening US dollar and declining US Treasury yields have fueled market expectations of a Federal Reserve rate cut. Polymarket data shows the probability of a March rate cut has risen from 7% at the beginning of the month to approximately 19%, while Kalshi market data shows approximately 21%. In the derivatives market, BTC futures open interest fell to $15.6 billion, indicating a continued deleveraging trend. Funding rates have further turned negative (Binance approximately -6%, Bybit approximately -0.5%), and the three-month basis has narrowed to 1.6%, reflecting a rapid cooling of institutional risk appetite. (CoinDesk)