Conflicted Fed Cuts Rates But Bitcoin’s ‘fragile Range’ Pins Btc...

A divided Federal Reserve approved a 0.25% rate cut, but concerns over inflation and growth, as well as Glassnode data highlighting BTC’s “fragile range,” may keep it under $100,000.

On Wednesday, the US Federal Reserve approved a 25-basis-point interest rate cut, marking the third this year and aligning with market expectations. Typical of its previous pre-FOMC price action, Bitcoin rallied above $94,000 on Monday, but the media’s hawkish depiction of the rate cut reflects a Fed that is divided over the future of US monetary policy and the economy.

Given the “hawkish” label associated with this week’s rate cut, it’s possible that Bitcoin price could sell on the news and remain range-bound until a new momentum driver emerges.

CNBC reported that the Fed’s 9-3 vote is a signal that members remain concerned about the resilience of inflation, and that the rate of economic growth and pace of future rate cuts could slow in 2026.

According to Glassnode, Bitcoin (BTC) remains trapped in a structurally fragile range below $100,000, with the price action constrained between the short-term cost basis at $102,700 and the “True Market Mean” at $81,300.

Glassnode data also showed weakening onchain conditions, thinning futures demand, and persistent sell pressure in an environment that continues to hold BTC below $100,000.

Bitcoin’s structurally fragile range kept the market stuck below $100,000 with expanding unrealized losses.

Realized losses have surged to $555 million/day, the highest since the FTX collapse in 2022.

Heavy profit-taking from more than 1-year holders and the capitulation of top buyers are preventing a reclaim of the STH-Cost Basis.

Fed rate cuts may fail to significantly boost Bitcoin price in the short term.

Source: CoinTelegraph