Bitcoin Slumps 32% Amid Re-Ancoring Trend and Hawkish Fed

Bitcoin's price has taken a hit in the first half of 2026, declining by 32% year-to-date and sitting over 50% below its all-time high of $126,080 reached in October 2025.

The decline coincided with a broader 're-anchoring' trend across global markets, marked by a shift away from central-bank support, decreased consumer spending, and tighter Federal Reserve policy.

Binance Research points to the implied spread between expected and actual Fed funds rates as a major driver of Bitcoin's slide, with markets assigning roughly 80% odds of a hike by December.