The cryptocurrency market experienced significant movement as Bitcoin (BTC) briefly surged past $94,500, buoying market sentiment ahead of an anticipated announcement from the Federal Reserve. This uptick coincides with a growing expectation of a 25-basis-point rate cut, which now stands at a 96% probability according to betting markets like Polymarket.
In the hours leading up to this announcement, BTC exhibited a notable spike, reaching heights not seen in recent times. However, this momentum proved unsustainable, and the asset retraced some gains, currently trading around $93,000, reflecting an increase of 3% over the past day. As a result of this latest volatility, Bitcoin“s market capitalization has risen to approximately $1.85 trillion, maintaining a dominance rate of roughly 55.38% over altcoins.
While Bitcoin made headlines, it was Ethereum (ETH) and other leading altcoins that showcased remarkable performance in the last 24 hours. Ethereum jumped by 9%, reaching around $3,350, while Cardano (ADA) surged an impressive 12% to approximately $0.47. Other cryptocurrencies like Avalanche (AVAX), Polkadot (DOT), Worldcoin (WLD), and Dogecoin (DOGE) also noted daily gains ranging from 5% to 8%.
In contrast, a few altcoins such as Pi Network (PI), Bittensor (TAO), Tron (TRX), and Bitcoin Cash (BCH) experienced minor losses during this trading session. The overall cryptocurrency market capitalization has now reached approximately $3.26 trillion, marking a 3.3% increase compared to the previous day.
As traders await the Fed”s decision, the potential for further volatility remains, indicating that the crypto market is poised for more significant fluctuations as it reacts to macroeconomic developments.
