Bitcoin Drops to $66,000 as Fed Minutes Signal Possible Rate Hike

Bitcoin slid back toward the $66,000 level on Wednesday afternoon, erasing earlier gains and revisiting the lower boundary of its recent trading range. After climbing as high as $68,500 overnight, BTC fell roughly 2.5% over 24 hours, last trading near $66,200.

The decline puts bitcoin on pace for its fifth consecutive weekly loss its longest negative streak since the 2022 bear market. The $66,000 zone previously acted as support, helping spark a rebound above $70,000. A decisive break below that level could expose the early February lows near $60,000.

Crypto Stocks Reverse as Dollar Strengthens

Crypto related equities mirrored bitcoin’s weakness. Coinbase reversed a 3% morning gain to trade down about 2% by the afternoon, while MicroStrategy, the largest corporate holder of bitcoin, slipped roughly 3%.

The pullback followed the release of minutes from the January meeting of the Federal Reserve. While policymakers paused rate cuts as expected, several members signaled openness to further tightening if inflation remains persistent. The hawkish tone lifted the U.S. dollar index to a two-week high, adding pressure to risk assets including cryptocurrencies and equities.

Disclaimer

This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.