Bitcoin tested multi month lows after the latest Fed minutes revealed policy divergence and uncertainty around the rate path, weighing on overall market sentiment.
Bitcoin started the week under pressure, sliding well below its yearly open as the key driver turned out to be disagreement inside the Fed over inflation and labor market conditions. Officials struggled to outline a clear path for December, increasing uncertainty around the timing of possible rate cuts. This dynamic fueled broader risk aversion across markets.
Derivatives activity added to the tension. Analysts noted a rapid expansion in perpetual futures open interest, while positive funding rates signaled aggressive long positioning despite weak price action. This combination suggested that a temporary bottom could form, although renewed selling might still push the market into deeper correction territory.
Later in the session, a strong earnings release provided brief relief for risk assets. The technology giant exceeded expectations and emphasized the ongoing strength of AI driven investment, which helped ease pressure on equity markets. The improved tone supported a rebound in Bitcoin, lifting the price back above the 90 thousand dollar level.
