Fed Pause, CLARITY Act & ETF Pressure Keep Market Cautious
Bitcoin is trading near $67,000 after briefly falling to around $65,800 following the latest Fed Minutes.
It wasn’t a crash. But it’s not showing strong upside either. Right now, the market is careful and defensive.
Fed Update: No Rate Cut Soon
The February Fed Minutes made one thing clear:
• March rate cut chance is only around 6%
• 94% chance rates stay the same
• The tone was slightly strict
After this update, risk appetite became weaker.
Altcoins also struggled:
• ETH near $2,000
• SOL holding around $80
• XRP down sharply in recent days
Now, traders are waiting for the PCE inflation data.
If inflation comes higher
→ more pressure possible.
If inflation cools
→ short bounce possible.
Fed Injected Liquidity — But No Cuts
Even though the Fed sounded strict, it added $18.5B in liquidity through overnight repos.
So the situation looks like this:
Rates → Staying high
Liquidity → Increasing
Rate cuts → Delayed
This mixed signal is keeping markets confused and quiet.
Traders Are Buying Protection
In the options market, traders are buying downside protection.
That means:
They are paying for insurance, In case Bitcoin drops again This shows caution. Not panic. Not excitement. Just risk management.
ETF Investors Are Under Pressure
The average Bitcoin ETF buying price is around $84,000.
At $67K, many ETF investors are about 20% down.
Two possibilities now:
1️⃣ If $65K breaks → some panic selling could happen
2️⃣ If $65K holds → market may slowly stabilize
ETF holdings are only slightly lower than their peak. This means investors are reducing exposure slowly, not rushing out.
CLARITY Act Update
Prediction market odds for the CLARITY Act jumped to 85–90%, then dropped near 55%.
This shows:
• People believe progress is happening
• But timing is still uncertain
It’s positive for the long term, but not an immediate price booster.
Other Risks
Markets are also watching:
• Stress in credit markets
• Oil prices rising above $66
• Weakness in stock markets
So overall risk mood is still sensitive.
Important Levels
Support: $65KResistance: $70K–$72KIf $65K breaks → volatility may increase.If price holds → range trading may continue.
Final View
This is not a panic market. This is a cautious market.
Traders are hedging, protecting, and waiting for clearer signals. Until $65K breaks or $72K is reclaimed, Bitcoin remains in a tight and defensive range.
⚠ Disclaimer
This content is for educational purposes only and does not constitute financial advice. Always conduct your own research before trading derivatives or cryptocurrencies.
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