The crypto market has seen high volatility over the past 24 hours after the US Federal Reserve announced its latest interest rate cut. Bitcoin failed to maintain its upward momentum and fell back to around $90,000.
Bitcoin surged above $94,000 shortly after the Fed’s announcement, but selling pressure quickly emerged and pushed the price below $90,000 before recovering slightly. This move mirrors the volatility pattern that has occurred after previous FOMC meetings.
While rate cuts are generally considered positive for risk assets including crypto, the long-term impact on Bitcoin is still uncertain. The market now appears cautious about its next move.
Bitcoin’s market capitalization has fallen to around $1.8 trillion, but BTC’s dominance has increased, indicating that investors are more inclined towards major assets than altcoins.
Major altcoins have underperformed, with some of them suffering bigger losses than Bitcoin, signaling an increase in cautious sentiment in the overall crypto market.
