Bitcoin retreats toward $65,000 ahead of the Fed decision

Bitcoin slipped toward the $65,000 level ahead of the US Federal Reserve's monetary policy decision, as traders reduced risk exposure and reassessed interest rate expectations under new Fed Chair Kevin Warsh.

According to market data, Bitcoin fell from a June 16 high near $67,200 to an intraday low around $65,236 on June 17 before stabilizing near $65,300.

The pullback comes as investors await the outcome of the Fed's two-day policy meeting, with markets widely expecting the central bank to leave interest rates unchanged within the 3.50%–3.75% range.

Focus shifts to rate projections and the new Fed chair's message

While markets are not expecting any change in interest rates, attention is centered on the updated dot plot showing policymakers' rate projections, as well as Kevin Warsh's first post-meeting press conference.

Investors are trying to determine whether policymakers will move away from any previous easing bias and reinforce expectations that borrowing costs will remain elevated for longer, with inflation still running above 4%.

Caution extended to other markets as well. Gold and silver edged lower during the session, while oil prices fell toward $75 per barrel for a fifth consecutive session as markets priced in the possibility of Iranian oil exports returning under a proposed US-Iran agreement.

Meanwhile, Asian technology stocks continued to attract investment flows, with Japan's Nikkei 225 reaching fresh record highs above 70,000 points, supported by ongoing enthusiasm surrounding artificial intelligence-related investments.

Technical resistance caps Bitcoin's recovery

From a technical perspective, Bitcoin's recent rebound from levels below $60,000 appears to have lost momentum near a key resistance zone.

On the daily chart, the cryptocurrency returned to the $65,200–$65,800 range, an area that acted as major support during February and March before turning into resistance following the sharp selloff earlier this month.

Although Bitcoin briefly managed to reclaim this zone, it quickly fell back below it, suggesting that selling pressure remains in place.

The price is currently trapped between major support near $60,000 and strong resistance around $68,000, reflecting the cautious and wait-and-see approach dominating trading activity ahead of the Federal Reserve's decision and updated economic projections.