Cryptocurrencies Ripple (XRP), Solana (SOL), and Ethereum (ETH) experience decreases as Bitcoin (BTC) falls below $80,000

May 16, 2026

Bitcoin experienced a drop below $80,000 recently, resulting in XRP falling to $1.44, Solana decreasing by 5.6% to $90, and Ethereum declining by 2.1% to $2,250. These losses reversed the gains seen yesterday after the CLARITY Act was approved by the Senate Banking Committee in a 15-9 vote.

An estimated $2.6 billion worth of Bitcoin, Ethereum, XRP, and Solana options expired today on Deribit. The expiry placed additional selling pressure on the market as traders unwound hedges prior to settlement. With the maximum pain level below the current spot price for every major coin, this expiry event added to the downward momentum experienced by cryptocurrencies.

The 30-year Treasury yield surged to 5.114%, while the 10-year yield reached 4.54%, marking annual highs in both cases. Futures markets indicated a 44% probability of a Federal Reserve rate hike by December, diverting capital away from non-yielding crypto assets and leading to record on-chain tokenized Treasuries worth $8.7 billion.

Kevin Warsh assumed the role of Fed Chair, causing a shift in the bond market due to expectations of his policy approach. The vigorous increase in Treasury yields poses a challenge for assets like Bitcoin, as investors redirect their funds towards Treasury securities to benefit from higher yields amidst rising interest rates.

Overall, the recent decline in cryptocurrencies can be attributed to the fleeting impact of the CLARITY Act vote, the coinciding options expiry, and the significant movements in the bond market. To reverse this trend, either a change in the bond market’s outlook on rate hikes is needed, preferably due to moderated inflation or geopolitical stability, or a more dovish approach from Warsh or a reversal in institutional ETF outflows could potentially halt the current downward trajectory.