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Bitcoin Holds Low $90,000s After Fed Cut as Liquidity Thins and Long-Term Buying Grows

Fresh T-bill purchases by the New York Fed signal cautious support that meets a market prone to sharp swings.

Overview

  • Following a 25 bp rate cut, the New York Fed outlined roughly $40 billion in short-term Treasury purchases as Chair Jerome Powell emphasized a data-dependent path.
  • Bitcoin whipsawed from an intraday low near $89,000 to trade back in the $92,000–$94,000 range, reflecting fragile short-term momentum.
  • Glassnode estimates roughly $350 billion in unrealized crypto losses, including about $85 billion in Bitcoin, as lower stablecoin inflows, thinner market-maker depth, and softer spot volumes point to higher volatility risk.
  • Accumulation addresses added about 75,000 BTC from Dec. 1–10, on-chain data show, with record withdrawals and lighter deposits on Binance suggesting supply is moving off exchanges as whale and short-term holder selling cools.
  • In a policy development, House Financial Services Committee members urged the SEC to permit digital assets in 401(k) plans, a step that could broaden longer-term demand if adopted.