Bitcoin, Ethereum, and other leading cryptocurrencies fell further early Wednesday as investors reacted to a more hawkish macroeconomic outlook.

Bitcoin slipped below $67,000, down 3.1 per cent over the past 24 hours to $66,804 as of 1:13 a.m. ET, according to The Block.

Ether declined 4.1 per cent to $1,965, while XRP and BNB dropped 4.3 per cent and 4.5 per cent respectively.

Analysts largely attributed the downturn to changing expectations around United States monetary policy.

The research lead at Bitrue, Andri Fauzan Adziima noted that the decline came after a “hawkish shift in Fed expectations” following Kevin Warsh’s nomination as Federal Reserve chair, signaling “tighter liquidity and fewer rate cuts ahead.”

“Traders now watch for stabilization around $60,000-$65,000 support or renewed macro easing to spark any rebound,” said Adziima.

On Tuesday, spot Bitcoin ETFs saw net inflows of $166.56 million, up from $145 million the day before, according to SoSoValue.

Spot Ethereum ETFs experienced smaller inflows of $13.82 million, down from $57 million on Monday.