Bitcoin Falls, Dollar & Bonds Rally On Hawkish Fed Minutes
Summary
The January FOMC meeting minutes exposed a deeply divided Federal Reserve, with several officials advocating for "two-sided language" that signaled potential future rate hikes if inflation persists above target, despite recent positive economic data like cooling inflation and a steadying job market. This hawkish undertone, combined with concerns over market vulnerabilities like private credit risks, fueled a safe-haven rally in the dollar and bonds, consequently putting downward pressure on Bitcoin. Analysts noted that Bitcoin's underperformance reflects this broader risk-off sentiment driven by the Fed's cautious stance, as markets now await further commentary to gauge the 2026 monetary policy trajectory.
(Source:BeInCrypto)