Bitcoin faces volatility ahead of FOMC and Trump speech – Here’s what to expect!
The post Bitcoin faces volatility ahead of FOMC and Trump speech – Here’s what to expect! appeared on BitcoinEthereumNews.com.
As the market heads toward the end of January, macro volatility is starting to stack up. With five key macro releases lined up for a single day on the 27th of January, February looks set to begin on a volatile note. Notably, the stakes are even higher as these releases coincide with U.S. President Donald Trump’s speech at 4:00 P.M. ET, with investors closely listening for any mention of a shutdown, rate cuts, or related policy signals. Naturally, the question is whether the crypto market, especially Bitcoin [BTC] can handle the pressure, given that 60% of total capital inflows remain BTC-led, keeping it front and center as February gets underway. Source: CryptoQuant From an institutional perspective, the timing couldn’t be much worse. As AMBCrypto noted, Bitcoin ETF outflows alongside a negative Coinbase Premium Index (CPI) suggest U.S. investors aren’t really stepping into risk assets, as capital continues to rotate toward safer alternatives. Meanwhile, the Fear and Greed Index, down 12 points on the week, is now just a few points away from slipping into “extreme fear,” a zone often linked with early signs of capitulation as Bitcoin holders start realizing losses. Against this backdrop, do these macro releases, alongside the speech and the upcoming FOMC meeting, have enough weight to pull Bitcoin’s January ROI into the red for the first time since the 2022 bear market? Bitcoin faces choppy waters as volatility sets the tone Playing it defensive in the current market could actually be a bullish signal. And yet, trader and investor positioning shows a clear divergence. Bitcoin is stuck between caution and optimism, with spot flows pointing to restraint and institutional Bitcoin demand remaining weak. Meanwhile, the BTC/USDT trade on Binance shows a 70% long skew, signaling traders are still bullish on a rally. Open Interest (OI) has…
Filed under: News - @ January 28, 2026 2:27 am