Despite the Federal Reserve's dovish remarks in the minutes of the Federal Open Market Committee (FOMC) released on October 9, Bitcoin (BTC) continues to trade in the red, dropping to 61,000. It fell below the dollar.
At the time of writing, BTC is trading at $60,935, down 2% in the past 24 hours.
FOMC minutes revealed that a “substantive majority” of participants supported cutting U.S. interest rates by 50 basis points this year, to a range of 4.75% to 5%.
A minority supported a smaller cut of 25 basis points (bp), citing concerns that a large cut could be seen as premature, but supporters of a large cut supported inflation and It argued that it was more in line with recent indicators of labor market conditions.
Furthermore, the two leaders emphasized that this adjustment will help maintain the strength of the economy and labor market while continuing progress towards the 2% inflation target.
Other major cap altcoins echoed Bitcoin's subdued price movement, with Ethereum (ETH) down 1% over the past day, followed by Solana (SOL), down 2.5%, and BNB Coin (BNB), down 2.3%. It fell.
Despite the lack of bullish momentum in the crypto market, futures open interest rose significantly after the FOMC meeting.
Meanwhile, the US stock market reacted positively to the minutes. The S&P 500 index rose 0.68% on the day and is on track for a new all-time high, while the Nasdaq index rose 0.5% and is currently at its highest level since the crash in early September.
Andrew Kang, co-founder of venture capital fund Mechanism Capital, said it is natural to see a divergence in the performance of cryptocurrencies and stocks in relation to interest rate cuts.
Kang emphasized that equities are more closely linked to US interest rate policy, as rate cuts emphasize cash flow and the mature corporate bond market is used to finance growth. As a result, stock prices soared after the meeting ended, but cryptocurrencies continued to lag.
Traders remain uncertain and are likely waiting for U.S. economic data to be released on October 10th before taking more definitive action.
Bitcoin market data
At the time of press October 10, 2024, 12:21 a.m. (UTC)Bitcoin ranks first in terms of market capitalization, and the price is under 2.21% Over the past 24 hours. Bitcoin market capitalization is $1.2 trillion The trading volume for 24 hours is $27.55 billion. Learn more about Bitcoin ›
Overview of the virtual currency market
At the time of press October 10, 2024, 12:21 a.m. (UTC)the value of the entire cryptocurrency market is $2.12 trillion in 24 hour volume $67.57 billion. Bitcoin's dominant status is currently 56.65%. Learn more about the cryptocurrency market ›
