Bitcoin has plunged to a 21-month low, driven by anticipated interest rate hikes and worries over a major corporate buyer's shifting strategy. Investors are pulling funds from Bitcoin ETFs as the US dollar strengthens. Concerns are mounting that MicroStrategy, a significant Bitcoin holder, might reduce its holdings, adding to the downward pressure on the cryptocurrency, which has now fallen over 50% from its peak.

Bitcoin dropped over 3% to $58K after Strategy Inc authorized up to $1.25 billion in BTC sales, marking a major shift from its accumulation-only playbook.

Strategy (NASDAQ: MSTR) shares are under pressure Tuesday as Bitcoin breaks below $59,000 and crypto‑related stocks weaken across the board.

Bitcoin fell to a fresh 21-month low as the prospect of higher interest rates and concerns about the largest corporate buyer of the token weakened sentiment.