The crypto market edged down on Tuesday as Bitcoin slipped under $77,000 following another unsuccessful attempt to break higher. The market was pressured by climbing oil prices and investor caution ahead of major central bank meetings, which weighed on risk sentiment.
The leading cryptocurrency was last down 1.06 percent at $76,556 as of 9:30 GMT. Although it briefly surged past $79,000 on Monday, the world’s largest crypto couldn’t maintain momentum, with traders taking profits after multiple rejections near key resistance levels.
Oil prices, AI concerns impact crypto market
Most cryptocurrencies fell on Tuesday, with the second-largest cryptocurrency, Ethereum, dropping 1.90 percent to $2,278.19. XRP, the third-largest, fell 2.07 percent to $1.3875, while Solana slipped 2.21 percent to $83.590 and Cardano inched down 0.81 percent to $0.2456.
Polygon posted a 0.33 percent decline, while Dogecoin advanced 0.77 percent.
Bitcoin’s decline came as oil prices extended their gains on Tuesday, with Brent crude hovering near $110 per barrel as ongoing disruptions in the Strait of Hormuz continued to unsettle energy markets.
These supply concerns have kept crude prices elevated, fueling inflation worries and dampening demand for risk-sensitive assets like cryptocurrencies.
U.S. President Donald Trump reviewed a proposal from Iran regarding reopening the strategic waterway, though reports indicated that he remained doubtful of Tehran’s intentions, particularly given lingering disputes.
Market sentiment was also pressured by a report stating that OpenAI fell short of internal revenue and user growth targets ahead of a possible initial public offering, raising concerns about the durability of the AI investment boom. This carries broader implications for crypto markets, where optimism around AI-driven innovation has been a major driver of speculative interest in digital assets.
Central bank decisions in focus
Focus is also turning to the series of central bank meetings scheduled for this week. The Bank of Japan kept interest rates unchanged on Tuesday, largely in line with expectations, but flagged persistent concerns over inflation, particularly driven by rising energy costs.
Investors are now turning their attention to upcoming policy decisions from the U.S. Federal Reserve, the European Central Bank and the Bank of England later this week for signals on the future direction of interest rates and liquidity.
Despite short-term headwinds, Bitcoin continues to draw underlying support from institutional demand. At the same time, the Bitcoin 2026 conference began in Las Vegas on Monday, an event that typically sees strong industry participation and can introduce near-term volatility into prices.
