Bitcoin News Today: Bitcoin Faces $62K Drop Threat Amid Fed's Data Silence Predicament

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Bitcoin News Today: Bitcoin Faces $62K Drop Threat Amid Fed's Data Silence Predicament

Bitget-RWA2025/11/16 05:30

By:Bitget-RWA

- Bitcoin faces $62K crash risk amid Fed uncertainty caused by U.S. government shutdown's "data blackout" disrupting inflation/labor data. - Post-Nov 13 reopening saw BTC rebound above $102K, but markets remain fragile with 20% decline from October peak despite $140B ETF growth. - Fed rate cut odds dropped to 52% for December, creating volatility as institutions like Harvard Endowment invest $443M in Bitcoin ETFs. - U.S. miners struggle with 37.75% global hashrate share amid lack of federal incentives, con

Bitcoin Faces $62,000 Drop Threat as Fed Policy Remains Unclear

The crypto market is currently unstable as

Bitcoin

(BTC) trades close to $103,000, and

experts caution about a possible plunge to $62,000

due to ongoing ambiguity around Federal Reserve actions and the aftereffects of the 43-day U.S. government shutdown. The shutdown

interrupted the release of vital economic data

, resulting in a "data blackout" that has complicated the Fed’s policy decisions.

Bitcoin News Today: Bitcoin Faces $62K Drop Threat Amid Fed's Data Silence Predicament image 0

Federal Reserve Chair Jerome Powell has

admitted the absence of dependable inflation and jobs figures

, while Cleveland Fed President Beth Hammack stressed the importance of keeping policy "somewhat restrictive" to address persistent 3% inflation.

After the government reopened on November 13, crypto markets saw a brief boost, with

Bitcoin climbing back above $102,000

and

Ethereum

beginning to show accumulation patterns. Still, the overall market remains vulnerable.

BlackRock’s iShares Bitcoin Trust ETF

(IBIT), the top spot Bitcoin ETF, manages $82 billion in assets but has experienced inconsistent inflows since the October downturn, reflecting caution among large investors. The total assets under management for U.S. spot Bitcoin ETFs have reached $140 billion, up 40% since January 2025, yet

this strength stands in contrast to the broader market’s 20% drop

from its October high.

Expectations for Federal Reserve rate cuts have become a mixed blessing for Bitcoin. While a more accommodative stance could weaken the dollar and benefit riskier assets,

the likelihood of a December rate cut has slipped to 52%

, a steep fall from 95% at the start of November. This unpredictability has shaken investor sentiment, though

Harvard Endowment’s $443 million allocation

to BlackRock’s

IBIT

ETF demonstrates ongoing institutional optimism despite volatility. At the same time,

blockchain data shows $1.3 billion in large Ethereum purchases

, indicating that long-term investors are buying during the downturn.

Meanwhile, the U.S. Bitcoin mining industry faces its own hurdles. Even with

a slight rise in global hashrate share

to 37.75% by year’s end, American miners are still lagging behind international rivals who benefit from stronger government backing.

President Trump’s “MADE IN THE USA” Bitcoin pledges

have not yet resulted in federal support, forcing U.S. miners to grow operations without policy assistance.

With the Fed’s December meeting approaching and October CPI figures still unavailable,

Bitcoin traders remain cautious

. At present,

the market is balancing institutional ETF confidence

against broader economic challenges, making November a pivotal month for direction.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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