BTC Slides Back to $106,000 After Setting Record Monthly High

Bitcoin Declines as Tech Sell-Off Casts Shadow Over Crypto Markets

Bitcoin slipped on Tuesday as a downturn in U.S. technology stocks spread into the crypto sector, sparking profit-taking and dragging altcoins lower alongside equities.

The leading cryptocurrency fell roughly 1% over the past day, trading around $106,175 at the time of writing. This pullback comes after Bitcoin ended June with a record monthly close above $107,000, encouraging some traders to cash out gains.

The slump coincided with losses in major stock indices, particularly tech shares. Tesla (TSLA) and Nvidia (NVDA) led the decline, pulling the Nasdaq down about 0.6%. Tesla dropped 5.4% during afternoon trading amid renewed tensions between Donald Trump and Elon Musk, as well as political wrangling over the Republican spending bill.

Altcoins followed Bitcoin’s retreat. Solana (SOL), Cardano (ADA), and Avalanche (AVAX) all posted notable losses, with SOL leading the way, dropping 6% after surging the previous day on hopes tied to an upcoming spot ETF launch.

Powell Urges Caution on Rate Cuts

Meanwhile, Federal Reserve Chair Jerome Powell addressed an audience at a European Central Bank event, indicating that the U.S. economy is strong enough for the Fed to remain cautious before considering interest-rate cuts.

Powell’s remarks come amid mixed signals from other Fed officials, two of whom have expressed openness to discussing a potential rate cut as soon as July. Although Powell didn’t rule out a rate cut this month, he provided few clues suggesting he’s leaning toward immediate action.

Due to the Independence Day holiday, the U.S. Labor Department will release June’s employment report on Thursday instead of Friday. Economists are predicting 110,000 new jobs for June, down from May’s 139,000.

A weaker-than-expected jobs figure could quickly reshape market expectations about the Fed’s next policy move in July.