Bitcoin price today: edges higher to $111.3k after 7-wk low amid Fed worries

Published 27/08/2025, 07:44
Updated 27/08/2025, 14:38

Investing.com-- Bitcoin edged higher on Wednesday after falling to a seven-week low in the previous session, as risk appetite remained dim after U.S. President Donald Trump’s attempted firing of Federal Reserve Governor Lisa Cook, escalating worries over the central bank’s independence. 

As of 09:35 ET (13:35 GMT), the world’s largest cryptocurrency traded 1% higher at $111,300. 

It fell to a seven-week low below $109,000 due to a significant whale trade, with reports showing 24,000 tokens liquidated.

Bitcoin has now retreated more than 10% from an August record peak above $124,000, erasing much of the rally built on bets the Fed would soon pivot to rate cuts.

Fed independence worries dampen risk appetite

Trump on Tuesday announced he had fired Cook, effective immediately, over allegations of mortgage fraud, accusing her of misrepresenting home-ownership status in 2021 loan documents. 

The allegations, referred to the Justice Department by the Federal Housing Finance Agency, are disputed by Cook, who said her dismissal was unlawful.

Cook’s lawyer, Abbe Lowell, announced plans to sue the administration, arguing that the dismissal lacked legal grounds and violated the Federal Reserve Act, which stipulates that governors can only be removed "for cause."

Markets are now reassessing interest-rate trajectories, with an increased possibility of near-term rate cuts, even as long-term uncertainty around institutional independence and legal challenges remains.

Trump Media, Crypto.com to launch crypto treasury firm 

Trump Media & Technology Group (NASDAQ:DJT) and Crypto.com said on Tuesday they will launch a SPAC-backed crypto treasury firm aimed at accumulating Cronos (CRO) tokens, according to filings and company announcements.

The new venture, named Trump Media Group CRO Strategy, is being structured as a merger with Yorkville Acquisition Corp, and will be listed on Nasdaq.

Initial funding plans reportedly include $1 billion in CRO tokens, $200 million in cash, $220 million in warrants, and a $5 billion equity line of credit from a Yorkville affiliate.

As part of the venture, Trump Media intends to purchase nearly $105 million in CRO tokens, while Crypto.com will invest in Trump Media equity.

Following the announcement, the CRO token price surged significantly, and Trump Media shares also jumped.

Crypto price today: most altcoins rise, Solana jumps

Most altcoins gained on Wednesday after sharp declines in the previous session.

World no.2 crypto Ethereum rose 1.9% to $4,589.65, after hitting a record high of $4,955 earlier this week.

World no. 3 crypto XRP gained 2.8% to $2.99.

Solana jumped 7%, while Cardano added 1.5%, and Polygon traded 1.7% higher.

Among meme tokens, Dogecoin jumped nearly 3%, while $TRUMP rose 1.2%.

(Ayushman Ojha contributed to this report.)

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