Bitcoin Crumbles Amid Hawkish Fed Signals and US-Iran Peace Deal

The price of Bitcoin fell by 1.9% to $62,995.6 on Thursday after hawkish signals from the Federal Reserve sparked expectations for an interest rate hike this year.

The Fed's steady stance was expected, but the increasing number of policymakers considering a rate hike later in 2026 amid risks from high inflation sent markets into a downturn.

New Fed Chair Kevin Warsh signaled an overhaul in how the Fed would communicate its plans for interest rates, adding to market uncertainty.

The U.S.-Iran peace deal signed on Wednesday did little to boost sentiment towards cryptocurrencies, which continued to lag technology and artificial intelligence stocks.