Bitcoin traded near $76,500 after Wall Street opened on Thursday, recovering from a brief slide below $76,000 after the US Federal Reserve lifted interest rates by 25 basis points. The move left Bitcoin modestly higher on the day while US equities rallied, showing that the immediate response to the Fed decision was more measured than the initial drop suggested.
TradingView data showed Bitcoin up about 0.5% over 24 hours after reaching month-to-date lows on Tuesday. The S&P 500 gained 0.9% in Thursday trading, while the Nasdaq Composite rose 1.5%, helping risk assets stabilize after the central bank’s decision.
The Federal Reserve raised its benchmark federal funds rate to a range of 3.75% to 4% on Wednesday. The increase was its first since July 2023, ending a long stretch in which policymakers had either reduced rates or held them steady between meetings.
Bitcoin’s ability to return above $76,000 placed the market back within a relatively tight trading zone, rather than signaling a decisive breakout. TradingView data showed volatility easing over the past day, with price swings narrowing as BTC remained close to nearby order-book liquidity.
Liquidity gathers around the spot price
CoinGlass data showed buy and sell orders building on both sides of Bitcoin’s spot price. That pattern often accompanies rangebound markets, where traders place orders near obvious short-term support and resistance levels rather than committing to a strong directional move.
The concentration of liquidity around BTC’s current price can amplify short intraday moves if one side of the order book is cleared. It can also keep price contained while traders wait for a clearer signal from macroeconomic data, equity markets or the next central-bank decisions.
Bitcoin had previously staged a 25% rebound in August before momentum faded as interest-rate expectations shifted. The pullback to Tuesday’s monthly lows showed that the earlier advance had not removed sensitivity to monetary policy, particularly when bond yields and the US dollar respond sharply to central-bank guidance.
CryptoQuant’s Bull Score Index fell from 80 to 60, according to the blockchain analytics firm. CryptoQuant describes 60 as the threshold for bullish conditions, leaving the indicator at the lower edge of that range on Thursday rather than in the stronger conditions it reflected earlier.
The index is designed to track several Bitcoin cycle and network measures, so it should not be treated as a direct short-term price forecast. Its decline nonetheless fits a market in which price has lost some of its August momentum and traders have become more responsive to changes in liquidity conditions.
Higher rates reshape the trading backdrop
The Fed’s quarter-point increase was not occurring in isolation. The European Central Bank raised its own key rates by 25 basis points last week, while the Bank of Japan was expected to announce its policy decision on Friday.
A more synchronized period of global tightening raises the cost of borrowing across major economies. Higher policy rates can increase yields available on government debt and cash-like instruments, while also making leverage more expensive for speculative trading strategies. That environment can reduce the amount of capital willing to take large positions in volatile assets, including Bitcoin.
The effect is rarely immediate or uniform. Thursday’s advance in the Nasdaq and S&P 500 showed that equity traders were willing to buy after the Fed decision, and Bitcoin followed that recovery to a limited extent. Yet the market remained well below the price area associated with its August rebound, leaving macro policy as a continuing constraint rather than a one-day catalyst.
The supplied on-chain analysis identified roughly $71,300 as an area of active supply that could serve as support, while placing a potential upper boundary near $79,800 based on money-flow measures. Those levels frame a broad range around the current price and help explain why Bitcoin’s movement near $76,500 has attracted attention from short-term traders.
A decline toward $71,300 would test whether holders who acquired Bitcoin near that level are prepared to defend their positions. A sustained move toward $79,800, meanwhile, would require Bitcoin to absorb sell-side liquidity that has accumulated above the market.
Fund outflows add to caution
Spot Bitcoin exchange-traded funds recorded about $450 million in outflows on September 15, according to the market figures provided. Such flows do not dictate Bitcoin’s price on a daily basis, but they can shape near-term sentiment because the funds have become a visible channel for regulated-market demand.
The outflow came as central banks were signaling tighter financial conditions, a combination that leaves traders more focused on position sizing and liquidity. When borrowing costs remain high, heavily leveraged positions can become harder to maintain through sudden price moves, increasing the appeal of smaller exposures and wider risk limits.
Chicago-listed Bitcoin futures have also continued to show demand for smaller contract sizes. The market update said micro Bitcoin futures contracts recorded between $200 million and $300 million in average daily volume this year. Micro contracts allow traders to adjust exposure in smaller increments, making them useful for hedging during periods when Bitcoin is moving within a defined range but macro news can still trigger abrupt volatility.
For now, Bitcoin’s recovery above $76,000 has eased the pressure from Tuesday’s low without resolving the broader range. The next test will be whether improving equity sentiment can carry BTC toward the upper liquidity zone, or whether higher global borrowing costs keep price anchored closer to the middle of its recent trading band.
Wondering how rate moves shape BTC swings? Explore our macro deep-dive in this Bitcoin volatility guide next.
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