The US dollar has a significant impact on Bitcoin and other risk assets as it is the global reserve currency. In the past, Bitcoin has shown an inverse relationship with the dollar, gaining strength when the dollar weakens. However, this correlation has weakened recently, despite the dollar's decline. If the correlation returns, Bitcoin may have the opportunity to advance.

The U.S. Federal Reserve's announcement that it is no longer forecasting a recession has led to a cautious rally in Bitcoin and crypto markets. However, financial experts warn that caution may be warranted as the potential for recession remains a looming concern. The recent decline in the annual average M2 growth and deflationary pressures in the economy are among the warning signals. While some believe that Bitcoin could behave like a safe haven asset during a recession, others argue that it might behave more like a risk asset.

A former customer of NatWest, a UK bank, claims that their account was closed due to their involvement in cryptocurrency trading. The customer had to resort to using a food bank over Christmas as they had no access to their funds. The bank had previously blocked the customer's account following a dispute related to a peer-to-peer crypto trade, but the Financial Ombudsman Service ruled in the customer's favour.

Bitcoin has seen limited changes over the past decade, with proposed updates causing controversy within the community. However, it is necessary for the protocol's future to have fundamental updates and functional second-layer applications. The process of ossification, where it becomes difficult to alter the underlying protocol due to numerous built-on applications, is a concern for Bitcoin's future.

Bitcoin's hashrate, or computing power, may decrease by up to 30% after the next halving event in April 2024, as unprofitable miners turn off their rigs. This was discussed by experts during a CoinDesk Mining Week 2023 Twitter Spaces event. B. Riley Financial's Lucas Pipes estimated a 15% to 30% decline, while Luxor Mining's Colin Harper predicted a 20% drop.

The US Federal Reserve has increased interest rates by 25 basis points, reaching their highest level in 22 years at 5.25-5.5%. Fed Chair Jerome Powell stated that the Fed may hike interest rates further depending on incoming US economic data. However, most analysts believe that this was the last interest hike of this tightening cycle, and the Fed will pause for the rest of the year.

The Federal Reserve's decision to raise the Federal Funds Rate (FFR) to 5.50% had little impact on the cryptocurrency market and Bitcoin. The central bank's cautious approach was seen as a sign that it is still concerned about the potential impact of its monetary policy on the broader economy. Despite the Fed's decision to raise rates, they may raise them again in September, depending on the data. Bitcoin's technical indicators suggest that it may be poised for a rebound shortly, which could be welcome news for investors and traders alike.

US Presidential candidate Robert F. Kennedy Jr. revealed that he purchased 2 Bitcoin for each of his 7 children using the money from his Monsanto case check. During a Twitter space event with prominent figures in the crypto market, Kennedy Jr. discussed the potential for crypto investments to lift people out of poverty.

During a recent crypto hearing, U.S. Congressman Brad Sherman made critical and skeptical comments about Satoshi Nakamoto, the creator of Bitcoin. Sherman argued that the United States benefits from the direct production of money and that the cryptocurrency industry aims to monopolize this.

Bitcoin experienced a slight increase in price following the expected 25 basis point interest rate hike by the U.S. Federal Reserve. The federal funds rate target range is now 5.25%-5.5% after the Federal Open Market Committee meeting on Wednesday. Despite remaining within a narrow range of $29,000 to $31,500 for over a month, the world's largest cryptocurrency by market capitalization rose by 0.3% to $29,354 according to CoinGecko.