Following Moody’s downgrade of U.S. credit, ETH, DOGE, and XRP slide 3%.

Crypto Prices Slide Following Moody’s U.S. Credit Downgrade Amid Market Uncertainty

Cryptocurrency markets declined on Saturday alongside equities after Moody’s downgraded the U.S. sovereign credit rating to Aa1 from Aaa, fueling investor caution over government debt and economic stability.

Ether (ETH), XRP, and Dogecoin (DOGE) each dropped around 3%, with the total crypto market cap easing back to $3.3 trillion after briefly reaching weekly highs.

Moody’s decision reflected concerns over the U.S.’ growing fiscal deficits, escalating interest payments, and political deadlock on spending reforms. This marks the third major rating agency—after Fitch and S&P—to reduce America’s credit status from its historic triple-A rating.

The White House dismissed the downgrade as politically motivated, with spokespersons of President Donald Trump criticizing the move.

In response, U.S. Treasury yields surged, pushing the 10-year note to 4.49%, while S&P 500 futures fell 0.6% in after-hours trading.

Although bitcoin and other decentralized assets have often benefited from fears around the U.S. dollar and debt sustainability, the immediate impact of such downgrades can prompt risk-off behavior and profit-taking.

“Bitcoin is maintaining the $104,000 level, but pressure near resistance may lead to short-term declines before any rebound,” said Alex Kuptsikevich, chief market analyst at FxPro.