Bitcoin steadied near $64,000 on July 29, 2026, after the Federal Reserve held its benchmark interest rate unchanged at 3.5% to 3.75%, extending its pause as markets awaited clarity on future policy direction under new Fed Chair Kevin Warsh.
The Fed’s decision came with inflation still elevated at 4.1%, keeping the possibility of a rate increase on the table despite easing oil prices. According to CoinDesk’s analysis of derivatives positioning, crypto futures volume increased 10% to $205 billion over the previous 24 hours, though open interest in Bitcoin remained steady near 750,000 BTC, signaling cautious positioning ahead of the announcement.
Bitcoin’s reaction reflected a broader pattern: the cryptocurrency has fallen after 8 of the last 9 Federal Open Market Committee meetings, according to analysts tracking historical FOMC outcomes. This precedent has made traders particularly cautious around Fed decisions, even when rate holds are widely expected.
Regional crypto trading volumes showed sharper declines. South Korean crypto exchanges saw trading volume plunge 89% year-over-year in July 2026 compared to July 2025, with average daily volume falling from $2.82 billion to $305 million, according to analysis by Cointelegraph cited by KuCoin. The collapse reflected retail investors shifting capital to equities, as South Korea’s KOSPI stock index surged 114% over the same 12-month period.
Bitcoin options traders had reduced downside hedges before the Fed announcement, stripping away crash protection that typically signals confidence in price stability. Meanwhile, Bitcoin ETFs experienced withdrawal spikes as investors weighed concerns over the Fed’s future rate trajectory, according to Kalkine research tracking flows in the days leading up to the decision.
The Fed’s extended pause—now in its fifth consecutive meeting without a rate change—left markets awaiting guidance on whether the central bank would raise rates later in 2026 or maintain its current stance through year-end. Analysts said the Fed’s data-driven approach and Chair Warsh’s policy roadmap would be critical signals for risk assets including cryptocurrencies in coming weeks.
Sources
- CoinDesk — Bitcoin price movement to $64,328, crypto futures volume data ($205 billion, up 10%), and open interest figures; derivatives positioning analysis ahead of Fed decision
- NPR, New York Times, CBS News, Barron’s — Fed’s July 29, 2026 decision to hold rates at 3.5%–3.75% on a 9-3 vote
- Yahoo Finance — Bitcoin historical pattern of falling after 8 of the last 9 FOMC meetings
- KuCoin / Cointelegraph — South Korean crypto trading volume analysis: 89% year-over-year decline in July 2026, average daily volume drop from $2.82 billion to $305 million
- Yahoo Finance — KOSPI stock index performance: 114% gain over 12 months to July 22, 2026
- Kalkine — Bitcoin ETF withdrawal spikes amid Fed rate concerns in late July
- CryptoRank — Bitcoin options traders reducing downside hedges before Fed decision
