Bitcoin Holds $65K as Fed Chair Warsh Takes Helm

The cryptocurrency market capitalization reached $4.07 trillion as Bitcoin approached $120,000 and Ether.fi jumped 20%, testing critical resistance levels. Bitcoin ($BTC) traded at approximately $65,829 as Federal Reserve Chair Kevin Warsh stepped in to chair his first FOMC meeting. The CME FedWatch tool showed traders pricing in a 97.4% probability of a 3.50-3.75% rate hold. Governments now hold 518,526 BTC, representing 2.47% of total supply, with the United States accounting for nearly 0.94%.

$BTC gave back some of its recent gains, falling back into the $65,000 zone after approaching $67,000, with prices recorded at $65,513.55, down 1.18%. Ethereum ($ETH) traded at $1,784.83, declining 0.45% alongside broader cryptocurrency weakness. Analysts are watching key levels as Bitcoin trades between $60,000 and $65,000, with market participants focused on Warsh's forward guidance as the primary driver. Extreme fear prevailed in the market as leading cryptocurrencies retreated alongside stocks as investors cashed in on recent gains.

Coinbase Global ($COIN) is preparing to bring tokenized U.S. stocks onto its platform, launching fully backed 1:1 tokenized stocks on-chain with automatic dividends, outpacing rivals using derivatives and IOUs. The company discussed its unified trading platform, AI integration, and global payments innovations in prepared remarks. A Michigan couple may be the first to use Bitcoin as collateral for a standard U.S. mortgage without selling their coins or paying capital gains taxes, using 10 years of bitcoin holdings. BlackRock ($BLK) is launching a bitcoin ETF that offers yields of up to 15% per year, though the product involves specific risks and trade-offs investors should understand.

Robinhood Markets ($HOOD) cut 10% of its workforce as CEO Vlad Tenev flattens the organization and raises its performance bar, while pledging to keep hiring in strategic areas. Robinhood, Kraken, and other platforms are racing to follow Coinbase's move into tokenized stocks. PayPal ($PYPL) concluded the trading session at $43.65, gaining 2.73% while the broader market dipped. The fintech is winding down its venture arm and exploring the sale of parts of its portfolio on the secondary market as it restructures under new CEO leadership.

World Liberty Financial is likely to land a federal banking charter soon, marking a significant development in crypto-native financial institution recognition. The move represents advancing institutional adoption and custody developments within the regulatory framework. Market participants are monitoring how traditional banking charter requirements will apply to crypto-focused institutions as regulatory clarity continues to develop.

Federal Reserve Chair Kevin Warsh's forward guidance remains the primary market catalyst, with traders focused on monetary policy direction beyond the expected 3.50-3.75% rate hold. The tokenized stock race between $COIN, $HOOD, and Kraken will test regulatory frameworks and institutional appetite for on-chain traditional securities. Bitcoin's ability to hold above key support levels between $60,000 and $65,000 will be critical for the next phase of price action, particularly as government holdings represent an increasing share of total supply.