Bitcoin News

Story: Bitcoin Dips Below $65K Then Bounces as Warsh Holds Rates at 3.75%

By Maheen Hernandez

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Bitcoin's Wild Few Minutes Around the Decision. The price action was fast and a little messy. Before the announcement, Bitcoin had already slipped…

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What Warsh's Hold Actually Means. Keeping rates at 3.5% to 3.75% isn't exactly a radical move.

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What Traders Are Watching Now. Crypto markets don't really care about the Fed in isolation.

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Bitcoin got rattled — briefly — and then shrugged it off. That's basically the story of Kevin Warsh's first Federal Open Market Committee meeting, which ended with interest rates…

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Warsh, the new Federal Reserve Chair, didn't blink. No cut, no hike, no surprise. The benchmark rate stayed put, and Bitcoin did what Bitcoin does when macroeconomic news hits —…

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The price action was fast and a little messy. Before the announcement, Bitcoin had already slipped under $65,000 — markets were clearly nervous heading into the decision.

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That kind of swing in minutes is pretty standard for crypto around Fed days. The asset class has always been jumpy near FOMC announcements, partly because traders treat Bitcoin…

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Warsh came into the job carrying a reputation. He's been openly critical of the Fed's past policies — the kind of criticism that made markets nervous he'd come in swinging with a…

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But Stephen Juneau, Bank of America's US economist, read it differently. Juneau predicted Warsh would lean more dovish than the crowd expected.

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Keeping rates at 3.5% to 3.75% isn't exactly a radical move. Jerome Powell held rates at similar levels through much of his final stretch at the Fed, and Warsh's decision to stay…

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Related: Nvidias $20 Billion Bond Sale Pushes Bitcoin Miners Toward AI Data Centers

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What's clear is that the market didn't love the ambiguity. Bitcoin's dip was brief, but it was real.

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No immediate policy shift came. Warsh didn't telegraph a cut. He didn't slam the door on one either.

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Crypto markets don't really care about the Fed in isolation. They care about what the Fed means for liquidity, for risk appetite, for the dollar.

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Warsh's hold keeps that calculus unchanged for now. The 55% of fund managers who expected hawkishness didn't get a full confirmation, but they didn't get a clean rebuttal either.

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