The cryptocurrency market is experiencing a significant downturn, with major exchanges such as Robinhood and Coinbase witnessing substantial losses due to escalating US-Iran tensions and disappointing earnings reports. Robinhood's stock plummeted nearly 14% after the company reported a 47% decline in crypto-related revenue. This triggered a ripple effect across the sector, with Coinbase and Bullish falling 8%, and Gemini dropping 6%.
Bitcoin miners Riot Platforms and MARA also saw significant declines, while Strategy, the largest corporate bitcoin owner, was down 4%. The decline in crypto stocks was more pronounced than the actual crypto prices, with bitcoin edging below $76,000. The rejection of Iran's proposal by President Trump led to a surge in oil prices, topping $100 a barrel, and raised concerns about energy supply chains in the Middle East.
The US stock market posted modest losses, with the Nasdaq down 0.35%. The Federal Reserve meeting results and upcoming earnings reports from big tech firms, including Alphabet, Amazon, Meta, and Microsoft, are expected to provide further market insights.