Bitcoin’s Post-FOMC Rollercoaster Continues as NEAR Dumps 8%
Despite the U.S. Federal Reserve’s widely anticipated decision to hold interest rates steady, Bitcoin (BTC) has experienced significant price swings, most recently falling below the $80,000 mark. The broader altcoin market has also suffered considerable losses today, with Bitcoin Cash (BCH) and NEAR leading the downturn. However, the token BTW has once again bucked the prevailing trend.
Following a rejection at the $85,000 level last Wednesday, Bitcoin entered a pronounced correction on shorter timeframes, plummeting to $83,000 within hours and further to $81,000 by Thursday. This bearish sentiment persisted through the subsequent days, culminating on Saturday with a drop to $79,100, the lowest price point for BTC in five weeks.
While the cryptocurrency attempted a recovery towards the end of the weekend, it struggled to maintain a position above $80,000 for an extended period. A more substantial upward movement began on Tuesday and continued into Wednesday morning, with BTC surging to $81,700 in the lead-up to the second-to-last Federal Open Market Committee (FOMC) meeting of the year.
The Federal Reserve’s announcement, which saw rates held steady after a September hike, offered little surprise to the markets. Fed Chair Jerome Powell did not rule out a potential rate increase in December, a prospect that contributed to BTC’s subsequent price volatility. The asset had dipped to $80,500 prior to the meeting, briefly rose to $81,800 in its immediate aftermath, but was subsequently rejected and fell to $79,600 hours later.
Since then, Bitcoin has been unable to mount a significant comeback and is currently trading around the $80,000 level. Its market capitalization has decreased to $1.61 trillion, according to CoinMarketCap, with its dominance over altcoins holding at 60%.
As is often the case when Bitcoin experiences directional movement, altcoins have closely followed suit. Ethereum (ETH) has fallen to $2,320, marking a 2.14% decline. XRP has dropped below $1.30 after a 3% decrease. Solana (SOL) has retreated to $100, while Zcash (ZEC) has seen a more than 5% drop, trading at $1,250.
Other notable cryptocurrencies such as HYPE, Dogecoin (DOGE), Chainlink (LINK), and Cardano (ADA) are also trading in negative territory. NEAR and BCH are at the forefront of the market’s decline, each experiencing losses of approximately 8%. CC, ENA, and MNT have seen drops of up to 7%. The token BTW stands out as the sole major exception, having surged by 8% and trading near $1.90.
The total cryptocurrency market capitalization has declined by 1.5% since yesterday, now standing at $2.680 trillion, as reported by CoinMarketCap.
