Fed Projects 25-bp Hike as Bitcoin Falls to $63,000; Traders Bet on $52,000 Low
BEN•Bitcoin slid to roughly $63,000 from $65,000 this week after the U.S. central bank projected at least a 25-basis-point rate increase in H2, weakening risk assets. Options traders now wager a further drop to $52,000 by July end as investor sentiment in digital assets remains muted.
1. Bitcoin Slumps on Fed Hawkish Outlook
The largest cryptocurrency ended the week trading near $63,000, down from $65,000, after the U.S. central bank indicated it expects at least one 25-basis-point rate increase in the second half of the year, triggering a pullback in risk-on assets.
2. Options Traders Brace for Further Declines
Derivatives markets have turned bearish, with traders placing bets that Bitcoin will slide to $52,000 by the end of July, reflecting growing concern over interest-rate pressure and the lack of immediate catalysts supporting prices.
3. Sector Turbulence Extends Beyond Bitcoin
Strategy’s preferred shares breached their $90 par value floor and fell to an intraday low of $83 before closing at $88.59, while the Ethereum Foundation lost its executive director effective immediately, adding to unease across digital-asset ecosystems.
