Bitcoin fell during trading on Wednesday, approaching its lowest level in 22 months, as pressure continued from rising expectations of US interest rate hikes and a decline in investors' appetite for high-risk assets. This was coupled with ongoing outflows from exchange-traded funds (ETFs) linked to cryptocurrencies.

Bitcoin dropped by 1.1% to $58,919.10 after earlier touching $57,832.50 in the session, its lowest since 22 months according to data from CoinMarketCap.

Ethereum also fell by 0.3% to $1,588.28, while BNB dropped by 0.6%. Solana rose by 1.2%, Cardano by 3.7%, and Dogecoin fell by 0.5%.

This decline followed sharp losses for the world's largest cryptocurrency in the second quarter of the year, where it lost around 14% of its value, increasing its losses since the beginning of the year to 32%. It is now trading more than 50% below its record high set last October.

Analysts believe that rising expectations of continued US monetary tightening have contributed to increased pressure on cryptocurrencies as non-yielding assets. The Federal Reserve, at its recent meeting, reinforced the expectation of keeping interest rates high or raising them again if economic conditions warrant it.

Investors are awaiting a statement from a Federal Reserve official later today for new indications on the interest rate path and the U.S. economy.

Meanwhile, Bitcoin-related exchange-traded funds (ETFs) continued to experience outflows, with expectations that this trend will extend into an eighth consecutive week, increasing pressure on the cryptocurrency.

Analysts noted that investors' growing interest in artificial intelligence stocks has also contributed to a decline in demand for cryptocurrencies. Some investments are shifting towards assets perceived as having clearer investment fundamentals.

In regulatory news, Taiwan has enacted new legislation establishing a comprehensive regulatory framework for the digital asset sector. This includes requiring cryptocurrency service providers to obtain licenses and tightening cybersecurity requirements, customer asset management, and internal controls.

In the United States, financial disclosures revealed that U.S. President Donald Trump earned over $1.4 billion from cryptocurrency-related ventures in 2025, including investments in World Liberty Financial, sales of digital tokens, and the "$TRUMP" digital currency.