The Federal Reserve kept interest rates unchanged at 3.5% to 3.75%, but Bitcoin did not settle after the announcement. Following the release of the FOMC minutes, BTC slipped to an intraday low of $74,937, briefly moving below its 20-day moving average. For many traders, that line matters. A failed recovery above it can turn a former support level into resistance and weaken the short-term structure.
During Fed Chair Jerome Powell’s press conference, Bitcoin remained fragile. Shubh Varma, CEO of Hyblock, described the move as a classic “sell the news” reaction. Even so, BTC quickly bounced back toward levels seen before the decision, showing that buyers had not fully stepped away. The rebound was fast, but the chart still faces pressure if daily closes remain below the trend line.
Short positioning increased before the FOMC meeting
Bitcoin has posted sharp swings across both spot and futures markets in recent weeks. Cointelegraph had reported that after BTC broke above channel resistance, analysts were looking for the asset to hold the $76,500 to $75,500 range and build firmer support there.
Glassnode said investors added to short positions ahead of the FOMC meeting. Open interest rose after Tuesday’s push to $79,000, while trading activity in spot and futures markets showed a visible divergence. Funding rates, by contrast, stayed neutral. In the same assessment, Glassnode said Bitcoin has established support between $65,000 and $70,000, yet demand has remained too weak to sustain a lasting upward move. Profit-taking by short-term holders and a rise in net short futures exposure added to the pressure on bullish momentum.
Accumulation in the $65,000-$70,000 zone continues
Analysts also pointed to meaningful accumulation in the $65,000 to $70,000 range. That view was tied to stronger institutional flows into spot ETFs and rising open interest on the Chicago Mercantile Exchange, or CME. Near-term momentum has slowed, but longer-horizon interest has not disappeared.
For crypto markets, Fed policy is only one input. Geopolitical risks and changing investor sentiment are also shaping price action. With volatility still elevated and short-term moving averages under pressure, Bitcoin may continue to trade in a choppy pattern in the near term.