Following last week’s surge, Bitcoin (BTC) 
$62,810 and the overall altcoin market faced selling pressure this morning. The price of BTC dropped by 1.97%, trading at around $64,536, while Japan’s Nikkei 225 index fell nearly 5%. Additionally, last week’s victory of Shigeru Ishiba reignited concerns over interest rate hikes.
Impact of Asian Markets on Cryptocurrency Decline
In September, Bitcoin showcased an impressive performance, gaining 9% throughout the month. The bullish market attempted to keep Bitcoin’s price above $66,000, but developments in Japan created selling pressure on the asset. Other geopolitical tensions, such as the assassination of Hezbollah leader Hassan Nasrallah, also heightened uncertainty.
Crypto analysis firm Santiment commented, “The market is moving contrary to expectations.”
Significant Drop in Nikkei 225 Index
At the time of writing, the Nikkei 225 index had dropped 4.64%, falling below 38,000 against a strong Japanese yen. Shigeru Ishiba’s victory raised fears that the Bank of Japan would implement further interest rate hikes. Following the announcement last week, the Japanese yen quickly gained value against the US dollar.
Mitsubishi UFJ Financial Group analyst Michael Wan stated to Bloomberg, “Our base assumption is that Ishiba will reflect the need for normalization, which will support the yen.”
However, it’s important to note that Ishiba’s current stance is unclear, as he mentioned over the weekend that monetary policy should remain supportive given current economic conditions.
Amid these macroeconomic uncertainties, there are strong expectations that Bitcoin could repeat its historical trends, aiming for $100,000 by year-end. Market participants anticipate a robust rally for BTC in the fourth quarter.
Altcoins Also Decline
On the other hand, Ethereum 
$2,450, BNB, Dogecoin 
$0.111526, and other altcoins fell more than 2% as they entered a correction phase. Conversely, XRP rose by 5.3% to around $0.645 despite the overall market correction. Memecoins were particularly hard-hit during today’s correction, with Dogecoin and Shiba Inu falling by 5% to 8%.
Market Awaits US Unemployment Data
Currently, markets are bracing for volatility as they await the release of the anticipated US unemployment data before the expected Uptober rally. Experienced crypto analyst Ali Martinez suggested that Bitcoin might experience fluctuations during this period and could move towards $78,000. Indeed, the recent influx into spot Bitcoin ETFs indicates that institutional investors are returning to the game by purchasing recent declines, reinforcing bullish expectations.
For now, Bitcoin and altcoins are losing value due to the effects of developments in Japan and geopolitical issues. Altcoins are also facing a downturn with the overall market’s selling pressure. Market participants are adopting a cautious approach while awaiting the release of US unemployment figures and potential economic policies.
