NEW YORK, March 18, 2026, 3:28 PM EDT
Bitcoin slipped under $72,000 on Wednesday, dropping roughly 4.5% to $71,292 by the afternoon. Earlier, it had surged as high as $74,798 before pulling back, as traders responded to the Federal Reserve’s call to hold rates steady and maintain just one quarter-point cut for the year.
That’s significant, since it halted bitcoin’s climb after the token touched $73,949 on Tuesday. Oil, inflation, and U.S. rate moves are still setting the pace for markets—even after the Securities and Exchange Commission finally released long-anticipated guidance on which digital assets count as securities.
Ether slipped 6.2% to $2,191, while XRP shed 4.6%. Shares tied to crypto didn’t hold up either—Coinbase dropped 2.3%, and Strategy finished down by 5.7%.
The Fed held its policy rate steady at 3.50%-3.75%, while bumping its year-end inflation projection up to 2.7% from the 2.4% estimate made in December. Brent crude touched $107.51 a barrel, following a strike on Iran’s Pars gas field. U.S. producer prices, meanwhile, surged 0.7% in February—tightening financial conditions in markets.
Lindsay Rosner from Goldman Sachs Asset Management expects the central bank to stick with a “wait-and-see” approach. Brian Jacobsen at Annex Wealth Management pointed out that the Fed’s projected inflation path “could be optimistic.” Both remarks highlight how investors are watching energy prices and growth prospects, not just the latest crypto headlines. Reuters
The SEC on Tuesday clarified that federal securities laws kick in only for digital securities. Chair Paul Atkins floated the idea of a safe harbor—essentially, a temporary exemption—to help crypto companies navigate capital-raising. The Commodity Futures Trading Commission echoed that reading.
Citi on Tuesday slashed its 12-month bitcoin price target to $112,000, down from the previous $143,000, blaming the slowdown in U.S. market-structure legislation. The much-anticipated bill, which would clarify crypto regulation, is losing momentum as a near-term driver for fresh institutional interest, according to the bank. Citi strategist Alex Saunders said the chances for legislation this year are fading fast, calling the “window of opportunity” increasingly tight. With that, Citi sees bitcoin stuck near $70,000, moving sideways as traders keep an eye on political headlines. Year to date, bitcoin remains roughly 15% lower. Reuters
The risks are clear enough. Should the dollar strengthen and energy prices stay elevated, tighter financial conditions could weigh on bitcoin, Citi warned. In a recession scenario, the bank sees bitcoin dropping to $58,000, despite a far more bullish upper bound.
