Fed Holds Rates, but Hike Risk Stays on the Table
The Federal Reserve left its benchmark interest rate unchanged at 3.75%-4.00%, exactly as markets expected. The vote was 10-2, with two officials arguing for a rate increase. The central bank also acknowledged that inflation remains elevated, which keeps the possibility of further tightening alive.
Bitcoin initially jumped above $81,000 on the relief of a no-surprise decision. The rally faded as traders focused on the dissents and the cautious guidance, and BTC slipped back toward the $80,000 level. Volatility in the technology sector added pressure, since crypto has recently traded in step with risk assets.
Spot Bitcoin ETFs Record Back-to-Back Inflows
US spot Bitcoin ETFs took in roughly $176 million on Tuesday and about $137 million on Wednesday, according to Farside Investors data. Nearly all of Wednesday's total went into BlackRock's IBIT, which added $136 million, while BITB contributed about $1.3 million and the remaining funds reported no flows.
These inflows have narrowed the net outflows recorded earlier in October, although the month is still on track to close in the red, with Bitcoin down roughly 4%.
What Connects the Two Stories
The Fed decision defines the macro backdrop, while ETF flows show how institutional investors are positioning within it. Steady inflows suggest that large buyers are still willing to accumulate on dips, yet the pace is modest compared with the selling pressure that appeared whenever rate-hike fears intensified.
Key Levels and What to Watch Next
Analysts see support in the $79,000-$80,000 zone, with resistance around $81,500-$82,000. A sustained move above that ceiling would require stronger ETF demand and softer inflation signals. Upcoming US economic releases, including GDP and PCE inflation data, are the next scheduled catalysts. For now, the market remains in consolidation, waiting for a clear macro trigger.
This article is for informational purposes only and does not constitute financial advice.
