Bitcoin is nearing $84,000 as markets react to Kevin Warsh’s nomination for Fed chairman

Bitcoin is hovering around $84,000, up from a two-month low of $82,000 on Friday, as markets reacted to President Donald Trump’s nomination of Kevin Warsh as the next chairman of the US Federal Reserve.Over the past 24 hours, Bitcoin rose 1.63%, while Ethereum fell 0.86% to trade at the $2,687 level. During the same period, among the major altcoins, BNB, Solana, Tron, Dogecoin and Hyperliquid rose over 7%, while XRP and Cardano fell 0.69% and 3.03% respectively.

Also read | Budget 2026: Mutual fund industry aims for returns on debt indexation, ELSS relief and MF pension schemesAccording to CoinMarketCap, the global cryptocurrency market capitalization rose 0.89% to $2.83 trillion.Nischal Shetty, founder of WazirX, said markets were reacting to the uncertainty surrounding upcoming interest rate decisions and Fed independence. As a result, the US dollar strengthened slightly, while risk assets came under slight pressure.After a strong run-up this month, the crypto market needs time to consolidate as the impact of macro developments settles down at a calibrated pace, Shetty added.

Over the past week, Bitcoin and Ethereum fell 6.59% and 9.13% respectively. Among the major altcoins, BNB, XRP, Solana, Tron, Dogecoin and Cardano fell by more than 13%, while Hyperliquid rose by 34.73%.

Also read | INR Check: What History Reveals About Gold, Silver and Market Crashes

Riya Sehgal, research analyst at Delta Exchange, said more than $2.7 billion has disappeared from U.S. spot Bitcoin ETFs since mid-January, raising concerns about weakening institutional demand. Gold’s recent rally and pullback pulled liquidity away from digital assets, adding to risk pressures. Bitcoin options are showing the highest fear levels in a year, with a delta skew of 17%, as traders hedge downside risk.

Overall, the crypto market reflects caution following heavy liquidations, but reduced leverage and oversold positioning could support a near-term recovery if conditions stabilize, Sehgal added.