As markets responded to the Federal Reserve’s decision to keep interest rates between 4.25% and 4.5% on July 31, 2025, Dogecoin saw a steep 3.4% decline, according to Coinwy, while Bitcoin and Ethereum remained stable. The Reserve’s cautious stance, with Chair Jerome Powell signaling fewer rate cuts in 2025 due to inflation concerns, triggered $200 million in long liquidations, per @CoinRank_io on X. This follows a volatile week where BTC dipped below $116K after hitting $123K, per Investing.com. The muted response from BTC ($116,074) and ETH ($3,690) contrasts with Dogecoin’s slide to $0.20, reflecting its sensitivity to macro shifts, per Benzinga.
Bitcoin’s stability near $116K is backed by a bullish pennant pattern, with analysts like @LordOfAlts on X eyeing a $135K target by Q3 if it holds above $114K. Ethereum’s weekly RSI at 68 suggests room for growth, but resistance at $3,800 caps upside, per Decrypt. Dogecoin, however, is at a critical juncture, trading at $0.20 with a neutral weekly RSI of 56, per AiCoin. According to TradingView, the 50- and 200-week EMAs’ convergence suggests hesitation, with resistance at $0.22 and support at $0.19. DOGE’s high volatility, driven by 1.18 billion units traded during a recent selloff, underscores its retail-driven nature, per Finance Magnates.
The Federal Reserve’s hawkish outlook, projecting only two rate cuts in 2025, has dampened risk appetite, with Dogecoin hit hardest among major coins, per Yahoo Finance. BTC and ETH benefit from institutional inflows—$588.6M into BTC ETFs and $71.2M into ETH ETFs on July 29, per SoSoValue—cushioning their declines. However, regulatory scrutiny, including the SEC’s Crypto Enforcement Unit, adds uncertainty, especially after the Samourai Wallet plea, which could impact privacy-focused coins. @AnalysisJitsu on X notes a 2.3% DOGE rebound, but broader market consolidation is likely in Q3. Macro factors, like Trump’s proposed tariffs, further cloud DOGE’s outlook, per Finance Monthly.
Bitcoin could test $125K if it breaks $118.5K, as seen in its recent Golden Cross, but a drop below $114K risks a $110K retest, per CoinGape. If ETF inflows continue, may rise above $4,000, but there are hazards associated with international laws like the EU’s MiCA. Dogecoin’s recovery hinges on breaking $0.22, with a potential double-bottom pattern signaling a reversal, per Finance Magnates. Investors should monitor Federal Reserve statements via @Benzinga on X and diversify into stablecoins to hedge DOGE’s volatility. Navigating this turbulent market will require exercising caution in the face of macro and regulatory uncertainty.
