Fed's first hike in three years barely dents bitcoin as Warsh turns hawkish

The Federal Reserve voted unanimously, 12-0, to raise its benchmark rate a quarter point to a 3.75%-4% range — its first increase in more than three years and a break from the cutting cycle markets had priced in. Fed Chair Kevin Warsh struck a notably hawkish tone afterward, arguing financial conditions can no longer be called restrictive and that the committee removed accommodation because the economy has strengthened enough to justify it. Sixteen of the eighteen policymakers on the committee now project at least one more hike before year-end.

How crypto actually took it

Bitcoin traded in a tight band through the decision, from roughly $75,000 to $76,500, before settling near $75,600. Ether swung a bit harder, from about $2,370 to $2,430, closing near $2,376. Most other majors were flat to slightly up — Solana added about 1%, XRP around 1.5%.

Why the muted move is notable

A surprise hawkish Fed, delivered against public pressure from the Trump administration to cut, is exactly the kind of headline that has hit risk assets hard in past cycles. Bitget's Lewis Huang pointed out bitcoin absorbed the shock better than equities did — though he flagged that rising energy prices could still complicate the inflation picture the Fed is trying to manage, which would matter more to crypto than the rate move itself.