BTC Dips to $75,000, Market Resumes Consolidation as Fed ‘Holds Steady’

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Bitcoin has posted a minor plunge earlier in the day to the $75,000 zone, after the US Fed kept interest rates steady, now standing at the $76,000 level. The consolidation continues across the crypto market however, with the price remaining largely unchanged over the past two weeks, despite the general monthly increase.

BTC Briefly Touches $75,100

Over the past 24 hours, Bitcoin fell from the intraday high of $77,629 to the intraday low of $75,102. It held that level briefly before posting a mild recovery to $76,127 on Thursday (noon UTC).  While red in the 7-day timeframe (-1.6%), it’s still green over the past 30 days (+15.3%).

The latest dip towards the $75,000 threshold followed the expected FOMC meeting, with the US Federal Reserve deciding to hold interest rates steady for the third time straight. The Fed is keeping the benchmark rate high, aiming to fight inflation. But low interest rates are more beneficial for crypto, due to the increase in market liquidity. Additionally, investors are willing to turn to riskier assets in such scenarios. That move would create a bullish environment, but for now, consolidation it is.

The market is, overall, still heavily influenced by macro and geopolitical developments, and this latest FOMC meeting was a significant potential catalyst. Nonetheless, even though none of these factors was strong enough to move BTC upwards and over the key $79,000-$80,000 range, they didn’t turn the market bearish either.

Meanwhile, this is considered to be Jerome Powell’s last FOMC meeting as chair, yet the uncertainty looms over its successor.  Kevin Warsh is expected to sit in the chair, but Powell will continue serving as a substitute of sorts if Warsh is not confirmed by May 15. Either way, Powell said he would remain a voting member of the FOMC.

Altcoins Turn Red

The global cryptocurrency market cap stands at $2.62 trillion on Thursday, which is a 1.8% drop since the same time a day earlier.

The market is red at the time of writing, with only about a dozen altcoins appreciating in 24 hours. And only about half of these posted increases larger than 1% each. Ethereum fell by 3%, trading at $2,258. Much like BTC, it briefly fell post-FOMC, but recovered soon enough to what’s been a relatively typical range in the past 14 days.

WhiteBIT Coin stands as the day’s winner, having appreciated by nearly 6% to the price of $57. It has clearly outperformed the rest of the market, though this type of surge in a widely red market tends to be brief, so keep an eye on potential shifts.

On the other side, Hyperliquid (HYPE) saw the highest loss in a day, of 3.8%, trading at $38%.  MemeCore (M), Cardano (ADA), XRP, Binance Coin (BNB) and more, all posted losses above 1% per coin. As seen, this includes the majority of the top 10 coins by market cap.

All this said, the market is largely moving sideways, and no major shifts are currently expected. But this can change in a second, as crypto remains sensitive to external factors. The geopolitical situation is especially volatile at the moment, so investors should watch it carefully.

The post BTC Dips to $75,000, Market Resumes Consolidation as Fed ‘Holds Steady’ appeared first on TechGaged.com.