Bitcoin falls as traders cut risk ahead of FOMC: Will TradFi, spot ETF volumes bolster $70K support?

Bitcoin (BTC) fell from its section precocious astatine $79,500 arsenic traders repositioned up of the Federal Open Market Committee (FOMC) gathering connected Wednesday.

Historical information shows that since the commencement of 2025, BTC has corrected 7 retired of 10 times aft an involvement complaint cut.

Bitcoin’s absorption to involvement complaint chopped decisions successful 2025 and 2026 shows a wide pattern. The terms often moved higher successful the days earlier the meeting, followed by antagonistic returns afterward, arsenic illustrated successful the chart.

BTC terms absorption station FOMC meet. Source: Cointelegraph/TradingView

The seven-day returns ranged from +6.92% to –29.57% crossed 10 FOMC meetings.

BTC 7-day absorption aft FOMC (visual heatmap table). Source: Cointelegraph

Over the past 2 years, the post-FOMC terms enactment has been driven little by the complaint result and much by shifts successful liquidity and leverage conditions.

During the Jan. 29–Feb 5 drawdown, erstwhile BTC fell astir 30%, derivatives information highlighted the grade of this dynamic. Futures unfastened involvement declined sharply, falling to $49 cardinal from astir $61 cardinal implicit the people of a week, signaling an assertive unwind of leveraged positions.

This deleveraging signifier triggered an estimated $2.5 cardinal successful BTC-specific liquidations, with full crypto liquidations reaching $4.5 cardinal implicit the aforesaid period.

MN Capital laminitis Michael van de Poppe said that the setup was emblematic pre-FOMC behaviour from the traders. The presumption frames the pullback arsenic a regular correction tied to the argumentation uncertainty, with van de Poppe adding,

“It astir ever happens anterior to the event, arsenic there's inactive a batch of fearfulness for FED policies from the markets.”

The expert noted that arsenic agelong arsenic the terms holds supra $73,000, the higher scope whitethorn stay intact successful the adjacent term.

Related: Three Bitcoin charts accidental BTC terms whitethorn rally toward $82K

Strategy buying BTC offsets the anemic sentiment

While short-term terms enactment reflects caution astir macro events, the broader request representation suggests a beardown structural bid beneath the market.

Corporate BTC accumulation continues to play a cardinal role. Strategy has importantly expanded its Bitcoin holdings successful 2026, expanding its full equilibrium to 818,334 BTC from 672,497 connected Jan. 1, adding 145,837 BTC.

The purchases are partially funded done Stretch (STRC) offerings, successful which the steadfast raises superior via equity-linked instruments and allocates the proceeds to Bitcoin.

Strategy BTC holdings successful 2026. Source: bitcointreasuries.net

Bitcoin macro researcher Ecoinometrics noted that the gait mirrors the late-2024 accumulation, though existent conditions are little bullish.

At the aforesaid time, spot Bitcoin ETF flows have turned affirmative again, with astir $3.5 cardinal successful nett inflows implicit the past 2 months. This resurgence signals renewed organization participation, adjacent arsenic the short-term sentiment remains cautious.

BTC is uncovering enactment astatine cardinal terms levels. Source: Cointelegraph/TradingView

Since March, the instrumentality of organization request for BTC has coincided with the crypto plus forming enactment levels astatine cardinal terms ranges, specified arsenic $60,000, $65,000 and $70,000.

While macro-driven events similar the FOMC proceed to trigger short-term volatility and risk-off behavior, this underlying request basal is helping cushion deeper drawdowns and enactment a much resilient semipermanent marketplace operation for Bitcoin.

Related: Bitcoin terms drops beneath $76K arsenic onchain information sends mixed signals