Bitcoin's price slipped to $64,466 on July 26, retreating from its recent high above $66,900 hit earlier in the week. The digital asset struggled to maintain momentum after a rally that began following last month's dip to $57,700.
Throughout the week, bitcoin's market cap hovered near $1.3 trillion, with small net changes leaving the cryptocurrency roughly 1% lower over seven days, despite broader gains since the yearly low. A pattern of failed breakouts unfolded as gains above $66,900 on July 21 reversed quickly, pulling prices back into the low $64,000 range by July 25.
ETF Flows and Market Sentiment
Institutional activity drove some of the week's swings. Spot bitcoin ETFs in the U.S. saw inflows surpassing $900 million midweek, led by BlackRock's IBIT and Fidelity's FBTC, helping to offset $4 billion in outflows from June. However, on July 23, around $225 million exited these funds, coinciding with the start of bitcoin's price pullback. This correlation highlights how ETF flows continue to impact bitcoin's short-term price moves.
Market sentiment remained cautious, with the Crypto Fear and Greed Index lingering in the "Fear" zone, reflecting investor wariness lingering after bitcoin's fall from its October 2025 peak above $126,000.
Fed's Upcoming Decision Under the Microscope
All eyes are on the Federal Reserve as the July 28-29 meeting approaches. The benchmark interest rate has stayed between 3.50% and 3.75%, and futures markets price the chance of a hike at about 34%. Recent cooler inflation figures and weak June jobs data have bolstered expectations for the Fed to hold rates steady, a scenario that has supported bitcoin's partial recovery. However, the market remains sensitive to signals from Chair Kevin Warsh and impending legislative debates, such as the Senate's upcoming review of the CLARITY Act by August 7.
