Bitcoin faces selling pressure on U.S. tightening, regulation fears

Bitcoin is facing selling pressure amid concerns over additional U.S. rate hikes, tighter crypto regulation, and weakening market liquidity, according to Japanese crypto outlet CoinPost. CoinPost said the U.S. consumer price index came in above market expectations, fueling views the Federal Reserve could raise its benchmark rate by 50 basis points in December. Against that backdrop, open interest in CME BTC futures has fallen sharply, while put option open interest has increased since Nov. 9, sending the put-call ratio sharply higher. The outlet added that long liquidation clusters are currently estimated around $72,000 and below $69,000. If Bitcoin falls to those levels without sufficient buy-side liquidity, cascading liquidations could follow and deepen the decline.