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Bitcoin Whipsaws on Fed Cut, Holding Near $90,000 as Leverage Unwinds

Cautious Fed guidance kept flows hesitant, leaving a fragile, rangebound market.

Overview

  • The Federal Reserve delivered a widely expected 25-basis-point cut, and Chair Jerome Powell signaled a data-dependent path with limited easing projected into 2026.
  • Bitcoin briefly jumped above roughly $94,000 after the decision, then slipped below $90,000 before stabilizing in a tight $89,000–$93,000 range.
  • Roughly $500 million in crypto positions were liquidated over 24 hours, with long bets taking the brunt as open interest eased and options markets favored downside protection.
  • Flows into U.S. spot Bitcoin ETFs have cooled in recent weeks with several sizable net outflow days, undercutting a key source of earlier buy-side support.
  • On-chain data show rising realized losses for recent buyers alongside very low Exchange Inflow CDD on Binance, indicating limited selling by long-term holders.