Bitcoin tumbled toward the $64,000 level on June 17, 2026, after the Federal Reserve signaled a more cautious approach to interest rate cuts than markets had anticipated. The flagship cryptocurrency dropped as much as 5.5% in a matter of hours, triggering a broad liquidation cascade across crypto markets.
The sell-off accelerated following the release of the Fed’s latest meeting minutes, which showed policymakers remain concerned about persistent inflation and are in no rush to ease monetary policy. Chair Jerome Powell’s recent comments reinforced a “higher for longer” stance, dashing hopes for a September rate cut and strengthening the U.S. dollar. This macro shift sent Bitcoin below key support levels, with liquidations exceeding $1.2 billion industry-wide in the past 24 hours, according to Coinglass data. Long positions accounted for the majority of the forced closures.
As of early Thursday, Bitcoin was trading near $64,200, down from above $67,000 earlier in the week. Ethereum and major altcoins posted similar losses, while total crypto market capitalization shed roughly $180 billion. Analysts noted that overleveraged traders contributed to the speed of the decline, with cascading stop-loss orders amplifying the move.
Despite the sharp drop, some market participants view the pullback as a healthy correction within a broader uptrend. Institutional accumulation signals remain positive, and several large holders continued buying the dip. However, near-term sentiment has turned cautious as traders await fresh economic data and clarity on U.S. crypto regulation.
The episode underscores Bitcoin’s continued sensitivity to traditional monetary policy decisions even as its correlation with risk assets fluctuates. Market watchers will closely monitor upcoming inflation readings and any dovish shifts from the Fed that could spark a recovery toward the $70,000 resistance zone.