Bitcoin Nears $84.5K as Markets Rebound Despite Fed's Delay on Rate Cuts

Bitcoin (BTC) rose 2% in the past 24 hours to trade near $84,500 on Thursday morning in Asia, recovering from a prior dip sparked by Federal Reserve Chair Jerome Powell’s comments delaying expectations for early interest rate cuts. The broader crypto market followed suit as investors assess the inflationary risks and potential economic slowdown from new U.S. tariffs, raising fears of stagflation.

Other major cryptocurrencies posted gains, with Ether (ETH), XRP, Dogecoin (DOGE), and BNB rising between 1% and 3%, while Solana (SOL) led the surge with a 6% increase. Mid-cap standout Hyperliquid (HYPE) jumped 8.5% with no apparent catalyst, while Celestia’s TIA dropped 4%, hit by growing pressure on tokens with lengthy unlock schedules following Mantra DAO’s earlier sell-off.

Powell emphasized a need for patience as the Fed monitors the impact of tariffs on inflation and growth. “Traders had been banking on early rate cuts, but that seems unlikely now,” said Jeff Mei, COO at BTSE. He expects Bitcoin to consolidate between $80,000 and $90,000 until further clarity emerges around trade policies and monetary easing.

SignalPlus Head of Insights Augustine Fan added that Powell’s remarks disappointed market doves by signaling a focus on containing long-term inflation expectations. Still, technical indicators remain supportive as long as BTC stays above the $81,000 level. Market attention now turns to Trump’s forthcoming trade deal and next week’s start to the corporate earnings season—key events that could influence crypto price trajectories in the short term.