Woofun AI reports that Bitcoin volatility resurfaced immediately following the U.S. Federal Reserve’s decision to maintain interest rates, a move that shifted market focus toward Fed Chair Kevin Warsh for future policy guidance.

The central bank’s stance was confirmed by a 9-3 vote, keeping the federal funds rate range steady between 3.50% and 3.75%. This outcome defied fragmented market expectations, where prediction models had assigned a 30%-38% probability to a rate hike, highlighting the divided sentiment among investors prior to the announcement.

Bitcoin price action reflected this uncertainty, with BTC dropping approximately $3,000 in the session preceding the decision before rebounding toward $64,500. Sellers intervened at that level, pushing the asset back above $64,000 briefly after the announcement before momentum faded; Bitcoin is currently trading at $63,553.21, marking a 24-hour decline of -0.27%.

Woofun AI data shows broader financial markets suffered significant losses, with the Dow Jones Industrial Average plummeting more than 1,100 points while the S&P 500 and Nasdaq Composite also closed lower. Simultaneously, Treasury yields surged, with the 10-year yield climbing above 4.67% and the 30-year yield reaching levels unseen since 2007, signaling heightened inflation concerns.

Market participants are now closely monitoring Kevin Warsh’s commentary for clues on how the Fed will address persistent inflation, which remains a critical variable for institutional interest in Bitcoin. While higher yields typically dampen demand for risk assets, the long-term narrative supporting decentralized assets as a hedge against currency debasement continues to underpin institutional adoption despite short-term turbulence.