Bitcoin Drops Below $63k Amid Hawkish Fed

Bitcoin Drops Below $63k Amid Hawkish Fed

Bitcoin slipped 1.9% to $62,995.6 by 17:19 ET (21:19 GMT) on Thursday, 18 June 2026, after the Federal Reserve’s meeting signaled a more hawkish stance. While the Fed left policy rates unchanged, an increasing number of policymakers indicated a possible rate hike later in 2026, prompting investors to price in at least one 25‑basis‑point increase by year‑end, according to CME FedWatch. New Fed Chair Kevin Warsh also hinted at an overhaul of the Fed’s communication strategy, adding further uncertainty.

The higher‑for‑longer rate outlook is viewed as detrimental to speculative, risk‑driven assets such as cryptocurrencies, reducing their appeal relative to safer debt instruments.

In parallel, Ark Invest disclosed its latest portfolio adjustments. The firm bought roughly $18.4 million of Coinbase shares, acquiring 111,799 shares across its ARK Innovation ETF, ARK Next Generation Internet ETF, and ARK Fintech Innovation ETF. Ark also added 236,759 shares of Block, valued at about $17.2 million, while trimming its Robinhood Markets position by 275,572 shares, a sale worth close to $29 million.

Crypto market breadth followed Bitcoin’s decline. Ether fell 1.9% to $1,705.49. XRP slipped 3%. Cardano, Solana and BNB each dropped between 1.8% and 3.3% (Cardano –1.8%, Solana –2.7%, BNB –3.3%). Among meme‑coins, Dogecoin lost 2.6% and $TRUMP fell 1.9%.

Separately, a U.S.–Iran framework peace memorandum was signed by President Donald Trump and Iranian officials at Versailles. The MoU ends military operations on all fronts, including Lebanon, and initiates a 60‑day negotiation window toward a final agreement. Iran reaffirmed it would not procure or develop nuclear weapons and pledged disposal of enriched material through a mutually agreed mechanism. The agreement also calls for reopening the Strait of Hormuz without tolls or charges for the 60‑day period.