The largest cryptocurrency in the world experienced a 3.8% decline in the last 24 hours, dropping to $64,198.0 by 01:15 ET (05:15 GMT).

Bitcoin’s losses were closely linked to a decrease in major U.S. technology stocks, following a disappointing revenue projection from Meta Platforms Inc (NASDAQ:META), the parent company of Facebook. Meta plummeted by 15% in after-hours trading, while Microsoft Corporation (NASDAQ:MSFT) and Alphabet Inc (NASDAQ:GOOGL) saw declines of 2% and 3%, respectively.

Historically, Bitcoin tends to move in sync with U.S. tech stocks as both sectors are perceived as lucrative opportunities for speculative investments.

Earlier this year, this correlation seemed to fade, particularly with the introduction of spot exchange-traded funds in the U.S., which boosted Bitcoin’s performance.

However, in recent weeks, the connection between Bitcoin and the tech sector has resurfaced as excitement around the ETF waned, and both industries encountered renewed downward pressure due to the anticipation of prolonged high U.S. interest rates.

Over the past month, Bitcoin has dropped approximately 8%, whereas the tech-heavy Nasdaq 100 Futures index experienced a 4% decrease. Despite reaching all-time highs in early March, the cryptocurrency has been trading within the range of \(60,000 to \)70,000.

The growing correlation has shifted attention to the earnings reports of tech giants Microsoft and Alphabet, scheduled for later on Thursday.

Concerns regarding sustained high U.S. interest rates persisted, as the dollar lingered below five-month peaks, impacting most digital tokens.

Ethereum saw a 3.1% decline to $3,157.77, while Solana and XRP experienced drops of 7.3% and 4.1%, respectively.

Market participants are eagerly anticipating further insights on the U.S. economy and interest rates from upcoming economic indicators.

Gross domestic product (GDP) figures are set to be released later on Thursday, offering insights into the resilience of the U.S. economy in the first quarter.

Of particular interest will be the Personal Consumption Expenditures (PCE) price index data scheduled for Friday. This metric serves as the Federal Reserve’s preferred measure of inflation and is likely to influence the central bank’s interest rate decisions.