Bitcoin’s Largest Decline in Four Months Frays Startling Rally

  • Crypto starts the week on back foot ahead of Fed rate meeting
  • Market’s 2023 surge raised risk of speculators taking profits

Cryptocurrency ATMs in Hong Kong.

Photographer: Paul Yeung/Bloomberg
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Bitcoin posted its steepest drop in almost four months as traders moved to lock in profits following a more than 150% rally this year, triggering large liquidations of bullish bets.

The largest token sank as much as 7.7% on Monday, the biggest intraday decline since Aug. 18. It pared some losses to trade 7.5% lower at $40,524 at 2:32 p.m. in New York. Most major cryptocurrencies fell, with an index of the largest 100 digital assets sliding the most since November.