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Bitcoin Stumbles Back Below $90K as Dollar Sinks to 7-Week Low After Fed Rate Cut

AI Summary4 min read

TL;DR

Bitcoin fell back below $90,000 despite the Fed's rate cut weakening the dollar and boosting precious metals. Crypto markets broadly declined, with AI-related stock drops and disappointing earnings reports souring sentiment.

Key Takeaways

  • •Bitcoin dropped below $90,000 after a brief rally, failing to benefit from the Fed's rate cut that weakened the dollar and boosted precious metals.
  • •Crypto markets broadly declined, with Ethereum, XRP, and Solana all falling alongside Bitcoin, while AI-related stocks also dropped after Oracle's disappointing earnings.
  • •The U.S. dollar index hit a seven-week low following the Fed's rate cut, with silver reaching a record high and Treasury yields falling.
  • •Bitcoin mining stocks and crypto-related companies like Coinbase and Robinhood saw significant losses amid the broader market downturn.
  • •Market sentiment was further impacted by scheduled token unlocks and repositioning by institutional players, adding to selling pressure.
DXY Index (TradingView)
DXY Index (TradingView)

What to know:

  • The U.S. dollar index (DXY) has fallen to a seven week low following the Fed's rate cut on Wednesday.
  • Precious metals are soaring and bond yields are falling.
  • Bitcoin remains stuck in a downtrend, falling back below $90,000 after the briefest of rallies.
  • The U.S. dollar index (DXY) has fallen to a seven week low following the Fed's rate cut on Wednesday.
  • Precious metals are soaring and bond yields are falling.
  • Bitcoin remains stuck in a downtrend, falling back below $90,000 after the briefest of rallies.

All things being equal, easier Fed monetary policy tends to lead to a weaker U.S. dollar, falling bond yields, rising precious metals prices and gains for risk assets, bitcoin BTC$92,576.47 and crypto among them.

Following the Fed's rate cut yesterday, the dollar is indeed weaker — the DXY falling to a seven-week low — precious metals are sharply higher, with silver touching a new record of $64 per ounce, and the 10-year Treasury yield has pulled back to 4.12% from 4.20%.

In what's become a familiar story, though, crypto is not participating. After (very) briefly rallying above $94,000 in the minutes following the rate cut, bitcoin BTC$92,576.47 has slumped to $89,400, now down 3% over the past 24 hours. Ether ETH$3,257.15 is down 5.5%, while XRP and solana slide closer to 4%.

Possibly souring the mood in crypto are declining AI-related names following Oracle's (ORCL) disappointing quarterly earnings released last night. Oracle has plunged 14% on Thursday, pulling down familiar names like Nvidia, AMD and Broadcom. The Nasdaq is lower by 1.2%.

Bitcoin mining stocks — many of whom have pivoted business models to focus instead on AI infrastructure — are lower alongside: Hut 8 (HUT), Iren (IREN), Cipher (CIFR) and Riot Platforms (RIOT) are among those with losses in the 5%-6% range.

Leading bitcoin treasury player Strategy (MSTR) is off by 6.4%, while crypto exchange Coinbase (COIN) is down 5%. Robinhood (HOOD) is lower by 8.3% after a November update showed a disappointing slump in crypto trading volumes.

  • As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
  • GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
  • Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
  • The Federal Reserve's 25-basis-point rate cut has led to mixed market reactions, with Dogecoin trading quietly within its established range.
  • Dogecoin's price remains stable between $0.13 and $0.15, with whale wallets accumulating significant amounts of the cryptocurrency.
  • Despite elevated trading activity, Dogecoin faces resistance near $0.1425, and its future movement is likely dependent on broader market sentiment.

Disclosure & Polices: CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of Bullish (NYSE:BLSH), an institutionally focused global digital asset platform that provides market infrastructure and information services. Bullish owns and invests in digital asset businesses and digital assets and CoinDesk employees, including journalists, may receive Bullish equity-based compensation.

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