Odaily News — On September 24, according to SoSoValue data, amid a combination of factors including surging oil prices, blowout PMI readings, hawkish remarks from Federal Reserve officials, soaring U.S. Treasury yields, and the Fed's October rate hike probability rising to 70%, the crypto market experienced a broad correction across all sectors. The Meme sector led the decline with an 8.80% drop over 24 hours. Within the sector, SPX6900 (SPX) plunged 17.64%, Useless Coin (USELESS) fell 14.13%, and OFFICIAL TRUMP (TRUMP) and Pepe (PEPE) declined 10.96% and 11.50% respectively.
Meanwhile, Bitcoin (BTC) dropped 2.46%, briefly falling below $84,000 intraday; Ethereum (ETH) fell 2.65%, breaking below $2,700.
In other sectors, the CeFi sector declined 2.81% over 24 hours, with Binance Coin (BNB) falling 2.80%; the Layer1 sector dropped 3.47%, with Hedera (HBAR) down 10.66%; the DeFi sector fell 4.74%, with Uniswap (UNI) down 11.67%; the PayFi sector declined 5.42%, with Dash (DASH) down 9.53%; the Layer2 sector dropped 6.08%, with Arbitrum (ARB) down 10.91%; the AI sector fell 6.96%, though SoSoValue (SOSO) bucked the trend with a 7.02% gain.
Crypto sector indices reflecting historical sector performance show that the ssiMeme, ssiAI, and ssiLayer2 indices declined 9.29%, 8.20%, and 7.07% respectively.
Odaily reports, according to CoinGlass data, that over the past 12 hours, the total liquidation amount across the entire network reached $389 million, of which $352 million was in long positions and $37.5412 million was in short positions.
Among these, BTC liquidations amounted to approximately $113 million, ETH liquidations totaled $89.3874 million, and XRP, ZEC, and NEAR saw liquidations of $17.7969 million, $12.5451 million, and $12.4459 million, respectively.
Odaily: The US 5-year Treasury yield extended its rise, recently up 19.04 basis points to 5.032%, marking the first time it has risen above 5% since 2007.
Odaily News: The U.S. Treasury Department said it will buy back up to $6 billion in longer-term government bonds on Thursday, the first such operation since Treasury Secretary Bessent expanded the buyback program, aimed at curbing the recent rise in borrowing costs. The maximum size of this buyback is three times the $2 billion originally announced to investors in early August. That original plan was canceled in a surprise announcement on August 19, when the Treasury said it would "at least double" the size of such operations. Following the announcement, 20-year to 30-year U.S. Treasury bonds, the targets of Thursday's buyback, extended their declines, with the 30-year Treasury yield briefly rising to 5.38% intraday, close to the roughly 5.40% high earlier this month and the highest level since 2007.
Facing criticism that the move amounts to market intervention and cannot address fundamental fiscal challenges, Bessent defended the expansion of Treasury buybacks, saying he took action because he believed market prices were "deviating" from equilibrium levels. The Institute of International Finance (IIF) warned on Wednesday that attempting to use "financial engineering" cannot resolve underlying debt dynamics, and that interventions such as purchasing securities in the secondary market "may bring temporary relief, but cannot address the structural factors driving debt growth."
Odaily: As markets bet on further interest rate hikes from the Federal Reserve, the dollar rose to its highest level against a basket of currencies since late July. The Fed raised rates by 25 basis points last week and signaled at least one more hike this year, with the dollar finding support as rate hike expectations continue to build. During European afternoon trading, a renewed rise in energy prices also boosted the dollar, with Brent crude climbing back above $100 per barrel.
Due to the dollar's safe-haven properties and the United States' status as a net oil exporter, rising energy prices typically benefit the dollar. However, with rate expectations becoming the dominant factor, the dollar's sensitivity to oil price fluctuations has diminished. "The medium- to long-term dollar strength we had forecast may finally be starting to materialize," Standard Chartered strategist Steve Englander said in a report. (Jinshi)
Odaily News: Federal Reserve Governor Barr stated that further rate hikes may be needed to ensure a timely return to the 2% inflation target, and additional policy adjustments may be necessary to ensure inflation falls to the target level in a timely manner. Inflation has not clearly trended toward the target in a timely way; economic growth is strong, the labor market is solid, the Federal Reserve is in an unfavorable position, and it has already adjusted in the right direction.
Odaily reports that the Secretary of Iran's Supreme National Security Council stated that as long as Iran's conditions are not met, the Strait of Hormuz will not reopen, and no negotiations will take place. Iran is in no hurry to negotiate; Iran's conditions have already been drafted and have been handed to Qatar and Pakistan. (CLS)
