(Bloomberg) -- Bitcoin dropped to its lowest level in three weeks as equities continued to trend lower.

The largest cryptocurrency declined as much as 1.9% on Tuesday to $16,277, the lowest level since Nov. 29. Second-largest Ether fell as much as 2.1% to the lowest since Nov. 28. Those moves come as the S&P 500 slid for a fourth straight session amid nervousness about the Federal Reserve’s potential rate-hike path.

“We expect a retest of the November lows, near $15,600, in the coming weeks” after a failed test of levels in the $17,000 to $18,000 range, said Katie Stockton, founder of Fairlead Strategies LLC. “We ultimately expect Bitcoin to make a lower low, increasing risk to long-term support near $13,900.”

Cryptocurrencies have had a harsh 2022 after reaching record highs late last year, buffeted by everything from the Fed’s policy tightening to the implosions of the Terra/Luna ecosystem, hedge funds Three Arrows Capital and exchange FTX. They’ve been highly correlated with US equities for a couple of years now, and Fundstrat digital-asset strategist Sean Farrell said in a note that was a reason for the Monday crypto declines.

Traders may also need to be on the lookout for the situations that come with holiday-season trading, according to Bitfinex.

“As we approach the end of the year many firms and traders take a break, however the slowdown in trading activity brings with it the risk of higher volatility, given the declines in trading volume and liquidity,” Bitfinex analysts said in a report. “This is already evident on the lower timeframes, even if the higher timeframe price action appears to be in a range between $16,000 and $18,000.”

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