Bitcoin Steady at $83K as Markets Await Fed Rate Decision

Bitcoin remained flat on Wednesday as investors awaited the Federal Reserve's interest rate decision. The world’s largest cryptocurrency traded at $83,006.50 by 01:23 ET (05:23 GMT), struggling for direction after losing 1.5% in the previous session, briefly dipping below $82,000.

Crypto markets have been volatile, with recent tariff policies from U.S. President Donald Trump adding uncertainty. Meanwhile, gold prices hit record highs, benefiting from its safe-haven appeal.

The Federal Reserve's two-day policy meeting began Tuesday, with markets widely expecting rates to remain unchanged. Despite a 25 basis point rate cut in December 2024, bringing the benchmark to 4.25%-4.50%, the Fed’s hawkish stance persists amid sticky inflation and trade war concerns. Investors are closely monitoring the Fed’s response to Trump’s tariff moves and their impact on economic growth.

The crypto market had previously gained momentum on hopes of pro-crypto policies under the Trump administration, but that enthusiasm has since faded. If trade tensions lead to signs of an economic slowdown, the Fed may reconsider its policy, affecting liquidity and investor sentiment in the digital asset space.

Altcoins also saw limited movement. Ethereum rose 1.7% to $1,938.05, while XRP gained 0.3% to $2.2984. Solana climbed 1%, while Cardano and Polygon edged up 0.3% and 0.9%, respectively. Among meme coins, Dogecoin remained unchanged, while $TRUMP dipped 0.2%.

With Bitcoin struggling for direction, all eyes remain on the Fed’s policy statement, which could shape crypto’s next move.