The cryptocurrency market is under heavy pressure on July 28, with Bitcoin losing the $65,000 level and threatening a deeper decline toward $60,000 — and possibly $57,000 — as traders brace for today’s Federal Reserve interest rate decision. A broader risk-off move, triggered in part by a sell-off in South Korea’s Kospi index, pushed total market capitalization down 2.67% to $2.17 trillion, while liquidations surged past $600 million, mostly from over-leveraged long positions.
Over $146 million in Bitcoin long liquidations alone accelerated the drop, according to analyst bee, who noted that repeated rejections from the Point of Control near $66,500 resemble price action seen before a previous fall from $90,000 to $60,000. “Getting turned away over and over makes a drop more likely, unless BTC can punch through $66,500 with real volume,” the analyst wrote. Adding to the cautious mood, Bank of America expects the Fed to keep rates unchanged, but any hawkish surprise could push Treasury yields and the dollar higher, further pressuring risk assets like Bitcoin.
Despite the negativity, institutional adoption continues. Morgan Stanley launched the Morgan Stanley Ethereum Trust (MSSE) and Morgan Stanley Solana Trust (MSOL) on NYSE Arca, each with a 0.14% expense ratio and plans to stake a portion of their ETH and SOL holdings without retaining rewards. The products join an existing Bitcoin vehicle, giving investors regulated exposure to three major Layer‑1 assets.
On the regulatory front, Russia’s central bank published draft rules for a licensed crypto trading regime set to begin on September 1. Exchanges and custodians would need to hold at least ₽250 million in capital, while retail investors face a ₽300,000 annual cap per platform and mandatory risk assessments. Crypto payments remain banned. Separately, the NFL urged the CFTC to tighten oversight of sports prediction markets, arguing current proposals fail to protect competition integrity. In the United States, Securitize — a leading real-world asset tokenization firm — obtained SEC registration as an investment adviser (RIA), allowing its subsidiary Securitize Capital LLC to provide advisory services to institutional clients.
Meanwhile, the CLARITY Act remains in focus after BlackRock reportedly backed the legislation, which could bring clearer U.S. digital asset rules. Notably, Bitcoin ETF flows turned positive for a second day, with $265 million in net inflows — over $200 million of it from BlackRock’s IBIT — offering some support even as the Fear & Greed Index slipped to 29, deep in ‘Fear’ territory. While Pump.fun (PUMP) and Canton (CC) bucked the trend with small gains, the broader market remains cautious until the Fed decision clears the air.
