Digital asset markets mirrored traditional finance’s downward trajectory Sunday evening, with Bitcoin (BTC) leading a broad cryptocurrency retreat. The flagship cryptocurrency dropped 8.2% between 6:30 PM and 11:00 PM ET, bottoming at $61,427 on major exchanges according to CoinMarketCap data.

The sell-off coincided with:

• A 2.3% decline in S&P 500 futures
• Rising 10-year Treasury yields hitting 4.42%
• Strengthening DXY dollar index to 104.8

“These correlated moves suggest crypto is still viewed as risk-on by institutional players,” noted Marcus Thielen, head researcher at 10x Markets. “The trigger appears to be renewed Middle East tensions combined with expectations of prolonged high interest rates.”

Ethereum (ETH) fared worse, shedding 9.1% to $3,012. Altcoins saw amplified losses, with Solana (SOL) down 11.4% and meme coins like Dogecoin (DOGE) plunging 14.6%.