BTC falls on Fed discord fears as spot ETFs see $138M outflow

Bitcoin's price has declined due to expectations of policy discord within the U.S. Federal Reserve after Chairman Jerome Powell announced he would remain on the board with voting rights after his term ends, DL News reported. Kraken Chief Economist Thomas Perfumo explained that four members voted against the interest rate freeze at the latest Federal Open Market Committee (FOMC) meeting, marking the most dissent in a single decision since October 1992. He noted that the transition to the next chair, Kevin Warsh, who is awaiting Senate confirmation, may not be smooth, raising the possibility of policy misalignment within the Fed. Perfumo added that Powell's decision to stay on as a voting board member further complicates the balance of power. Following the FOMC meeting, Bitcoin spot ETFs recorded a net outflow of $138 million, according to DeFiLlama data.