Bitcoin Underperforms Stocks Amid Hawkish Fed Stance

Crypto markets closed July with a decline, diverging from the strong stock rally observed on Friday. Bitcoin dropped approximately 2.5%, closing at around $62,464, according to CoinGecko data. This decline occurred despite a broader market rally in equities, notably the S&P 500, which benefited from investor optimism. The Federal Reserve's decision to hold interest rates steady for the fifth consecutive meeting, coupled with ongoing inflation at 3.7% as measured by the PCE index, has influenced market sentiment. The Fed's stance suggests that near-term rate cuts are unlikely, which has contributed to the cautious mood in crypto markets. Meanwhile, Uniswap experienced weekly gains driven by BlackRock's tokenized fund debut, whereas Worldcoin saw an 18% drop amid concerns over token-sale supply. These developments highlight the ongoing interplay between traditional financial policies and crypto market dynamics.