<\/p>\n
ETH and SOL are down 6% and 8%, respectively, ahead of tomorrow\u2019s Fed decision and CPI inflation report.<\/p>\n
Crypto markets fell sharply on Tuesday morning, with Bitcoin on track to post its worst day since late April.<\/p>\n
BTC is down 5% in the past 24 hours, changing hands for $66,600. Meanwhile, ETH, BNB and SOL plummeted between 6%% and 8%.<\/p>\n
On Monday, Bitcoin ETFs saw outflows of $65 million, breaking their winning streak after 19 straight days of inflows.<\/p>\n
<\/p>\n <\/a><\/p>\n All of the top 100 digital assets by market cap, barring stablecoins, are nursing losses today, according to CoinGecko<\/a>. The memecoin sector has been especially battered, with WIF and FLOKI down 12% and PEPE down 4%.<\/p>\n On the DeFi front, Uniswap (UNI), Wormhole (W), Ethena (ENA) and DYDX are the day\u2019s biggest losers, dropping more than 10%.<\/p>\n The U.S. Dollar Index (DXY) rallied for a third straight day ahead of tomorrow\u2019s interest rate decision from the Federal Reserve. U.S. inflation figures for May are also expected tomorrow. A rising dollar is generally a headwind for risky assets like stocks and crypto.<\/p>\n Notwithstanding rate cuts from the European Central Bank (ECB) and Bank of Canada last week, the Fed is widely expected to leave rates unchanged tomorrow. The CME FedWatch<\/a> tool indicates a 99.4% probability of such a move.<\/p>\n Investors will be hoping that tomorrow\u2019s CPI report continues the trend of cooling inflation, which would give the Fed leeway to cut interest rates.<\/p>\n