Bitcoin Trades Near $90,000 Amid Fragile Market Conditions and Anticipation of Fed Rate Cut
Bitcoin traded around $90,000 after erasing modest overnight gains, ending the day near the $90k level with about a 1% decline over 24 hours. Bitfinex analysts noted structural softness in BTC and weak spot demand, diverging from strength seen in U.S. equities. The broader macroeconomic environment includes rising U.S. 10-year yields hitting 4.19%, the highest in three months, alongside continued bond selloffs and Japanese yields approaching 2%. Meanwhile, U.S. stock indices weakened, with the S&P 500 down about 0.5% and the Nasdaq down about 0.3%.
The upcoming final Federal Reserve meeting of the week is expected to deliver a 25 basis-point rate cut, with guidance on future moves that could trigger volatility across markets. Persistent outflows from U.S.-listed spot BTC ETFs and negative cumulative volume delta (CVD) signals are contributing to a broader cautious crypto environment. Ethereum slipped slightly but showed relative strength compared to Bitcoin, while Zcash and Canton Network posted double-digit gains.
More than seven million BTC are currently sitting in unrealized losses, signaling bearish sentiment reminiscent of the 2022 consolidation period. Monthly Net Realized Capital Change inflows stand around $8.69 billion, which remains below peak levels and offers only a modest buffer against potential downside risks.
