Newly appointed Federal Reserve Chair Kevin Warsh presided over his first FOMC meeting last night, firing a hawkish salvo that sent crypto markets into a tailspin. Multiple officials signaled a possible rate hike later this year to tackle inflation—now at 4.2% CPI—denting risk appetite across the board. Bitcoin crashed from a 24-hour open of $65,832 to a low of $63,915.77, last trading at $64,728.01 with a 24-hour loss of 1.68%. Notably, BTC had just hit a near-two-week high of $67,203.74 on June 16, meaning it shed over $3,000 in just two days. Ethereum followed suit, bottoming at $1,725.34 and currently changing hands at $1,760.07, down 2.04%—a $83 slide from its June 16 peak of $1,843.46.
$442 Million Liquidated in 24 Hours, 66% Longs Wiped Out
According to CoinGlass, total market liquidations over the past 24 hours reached $441,538,897. In the 12-hour window, liquidations hit $300.2M, with long positions accounting for $198.74M (66%) while shorts only $101.47M—a textbook long-squeeze scenario. The largest single liquidation order was worth $1.01M, indicating institutional-level positions also got caught. Liquidation momentum slowed to $42M in the last 4 hours, but shorts made up $31.60M of that, suggesting bears are now pressing their advantage.
Warsh's Hawkish Stance and the Equity Market Rout
The catalyst is clear: the June 17 FOMC meeting led by Kevin Warsh, with several officials flagging a potential rate increase later this year due to higher-than-expected CPI (4.2%). The rate-hike outlook crushed risk assets; Treasury yields surged and U.S. stocks all closed in the red: S&P 500 fell 1.21% to 7,420.10, Nasdaq slid 1.34% to 26,021.66, and Dow dropped 0.98% to 51,492.55. Crypto markets also face headwinds from persistent Bitcoin spot ETF outflows, piling on the pressure.
Altcoins Plunge: SOL Below $73, XRP Down Over 2%
Major altcoins tracked Bitcoin lower. Solana (SOL) is now $72.56, down 1.49%, with a 24h low of $70.83—a drop of over 4% from its June 16 high of $75.60. XRP has fared worse, currently at $1.19, down 2.28%, trading in a $1.17–$1.23 range and nearly 8% off its June 16 peak of $1.29—the steepest decline among Top 10 coins. With no clear support, crypto capital continues to flee into safe havens.
Fear & Greed Index at 15 'Extreme Fear'—All Eyes on the Fed
Market sentiment has shattered. The Fear & Greed Index tumbled to 15 ('Extreme Fear') from yesterday's 22, indicating severely damaged confidence. Technically, BTC has fallen over 5% from its June 16 high of $67,203. If it fails to hold the $63,900 support line, a deeper correction may follow. The pivotal factor is whether the rate-hike narrative will cool. If upcoming inflation data shows signs of easing or Fed officials soften their stance, crypto might get a breather. If hawkish signals persist, this 'Extreme Fear' may only be the beginning.