Bitcoin Drops Below $64,000 – Traders Await Fed Decisions

After a brief rebound on Thursday, Bitcoin once again took a nosedive this morning, now trading at around $63,500. As much as I’d like to see the market break out, stability remains elusive. Even though inflation came in exactly as expected, the decline persisted. Now, all eyes are on the Fed—specifically, the Jackson Hole conference and the upcoming jobs data.
CPI Data Brings No Surprises – Bitcoin Remains Dull
US inflation in July? Exactly as forecasted: 3.2% year-over-year, with the core rate (excluding energy and food) at 3.3%. Sure, inflation is cooling—but Bitcoin? Not so much. No major hype, no surprises. A CryptoQuant trader put it bluntly: "A CPI print right in line removes the risk of a surprise rate hike but gives Bitcoin no reason for a strong rally."
In short: We’re stuck in limbo.
Jackson Hole as the Next Major Catalyst
From August 22 to 24, the Fed gathers in Jackson Hole—and as always, this year’s event could shape future policy. All attention is on hints of potential rate cuts starting in December.
Markus Thielen of Matrixport notes: "If the Fed signals even a slightly dovish stance, Bitcoin could get a short-term boost." But he cautions: "They’ll need to tread carefully to avoid raising false hopes."
Jobs Data and September CPI in Investors’ Crosshairs
Jackson Hole isn’t the only focal point—next month’s jobs report (September 2) and the following CPI release (September 11) could also shift sentiment. Weak numbers might push the Fed toward a more accommodative stance.
Natali



e Brunell of Glassnode explains: "Bitcoin is closely tied to risky assets like tech stocks. If the Fed truly signals looser policy, it could lift not just equities but also crypto."
Technical Analysis: Bitcoin Stuck in a Range
Technically, Bitcoin remains trapped in a tight range—between roughly $60,000 and $65,000. The Relative Strength Index (RSI) sits around 45—neither overbought nor oversold. That means no clear direction in sight.
Chart analyst Benjamin Cowen warns: "A breakout would need a move above $65,000, while a slide below $60,000 could trigger more selling. If that $60,000 floor breaks, Bitcoin could even drop to $55,000–$58,000."
Macro Uncertainties Continue to Weigh
Despite the gloomy mood, there are positives: The SEC’s approval of an Ethereum ETF shows institutional crypto interest isn’t fading. And in high-inflation countries like Argentina, Bitcoin is increasingly seen as a store of value—offering long-term hope.
Short-term, though, uncertainty lingers. A Binance trader summed it up: "Markets are tense, even nervous. Until the Fed sends clear signals, Bitcoin will keep swinging between rate-cut hopes and macro risks."
Final Thoughts: The CPI data didn’t spark new momentum, but now the Fed’s next moves are in the spotlight. Traders should watch the coming weeks closely—especially Jackson Hole, which could deliver the next major price impulse. Until then, Bitcoin remains stuck in an uncertain holding pattern. And me? I’m just holding my breath and hoping for better days ahead.