Bitcoin Stays Firm Near $64K Ahead of Fed Meeting

Bitcoin remained relatively stable near $64,000 as investors awaited the highly anticipated U.S. Federal Reserve meeting, which may impact interest rates. Markets are divided on whether the Fed will keep rates unchanged or increase them by a quarter of a percentage point. The uncertainty has led to AI-related stocks declining sharply, but Bitcoin has gained around 6% in July, outperforming traditional assets.

The data suggests that traders see a 70% chance of no change in interest rates and a 30% chance of a 25-basis-point hike, reflecting the reduced guidance from Fed Chair Kevin Warsh. Analysts expect Bitcoin to be less affected by the Fed's decision than other markets, especially if the central bank signals a dovish stance.

Despite volatility in traditional assets, Bitcoin's resilience is growing, with its value increasing despite AI tech stocks declining. The market sees a strong bullish bias, with calls making up 66% of total open interest in Bitcoin options, but put option volume remains high, indicating traders are hedging against potential downside risks.