The cryptocurrency market experienced significant volatility following key macroeconomic events last week. Bitcoin initially recovered from a drop below $115,000, trading between $117,000 and $119,000 ahead of the Federal Reserve's policy meeting. Despite better-than-expected Q2 US GDP growth of 3% and President Trump urging for rate cuts, the Fed maintained interest rates unchanged for the fifth consecutive time.
Bitcoin reacted immediately to the Fed announcement, plunging from nearly $119,000 to under $116,000. While it partially recovered to $119,000 by Thursday, Trump's subsequent imposition of new tariffs against multiple countries triggered another selloff. BTC tumbled to a three-week low of $114,000, ultimately closing the week at $115,350 – down 2.5% despite marking its highest monthly close.
Altcoins suffered steeper declines, with Ethereum (ETH) and Ripple (XRP) both dropping 5%. Solana (SOL), Dogecoin (DOGE), Cardano (ADA), HYPE, Stellar (XLM), Sui (SUI), Chainlink (LINK), and Hedera (HBAR) recorded losses of up to 10% compared to the previous week's valuations.