Bitcoin dropped 3.5% to below $109,000, dragging the global crypto market cap under $4 trillion after the Fed’s rate cut. Ethereum and major altcoins also fell over 3-4%, with total market value slipping to $3.68 trillion.
Bitcoin slid 3.5% in the past 24 hours to fall below the $109,000 mark on Thursday, as the global crypto market cap once again dipped under $4 trillion following the U.S. Federal Reserve’s 25-bps rate cut.
At 10:25 a.m. IST, Ethereum was down 3.6% at $3,871, while major altcoins — including BNB, XRP, Solana, Dogecoin, Tron, Cardano, and Hyperliquid — dropped over 4%. Overall, the global crypto market cap fell 3% to $3.68 trillion, according to CoinMarketCap..
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According to CoinDCX Research Team, the crypto markets trembled as Bitcoin marked lows below the local threshold of $110,000 while recovering marginally above the range. Meanwhile, Ethereum, XRP, Litecoin, Solana, Cardano, and Dogecoin continue to consolidate below their respective resistance at $4000, $0.26, $100, $200, $0.65, and $0.2.
With this, the global market cap yet again dropped below $4 trillion, while volume closed at $170 billion, CoinDCX Research Team added.
The Federal Reserve has cut the interest rates by 25 basis points and cleared that December rate cuts are ‘not for sure, far from it.’ The chairman said in his speech that the lack of data during the shutdown could limit economic visibility, affecting the Fed’s December decision, which impacted the market negatively.
In the past week, Bitcoin edged down 0.07% whereas Ethereum saw a spike of 0.91%. Among the altcoins, BNB, XRP, and Solana saw a spike in the past week, whereas others witnessed a decline.
Edul Patel, CEO of Mudrex, says that the crypto market remained sideways after the Fed cut interest rates by 25bps, while this move was largely anticipated by the investors, the announcement of Quantitative Easing from December is set to improve liquidity conditions, which is a positive for risk assets like crypto.
Historically, November has been one of Bitcoin’s strongest months for BTC with positive returns in 8 of the past 12 years. This, combined with whale activity hitting a two-month high, creates a bullish environment for crypto, Patel adds.
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CoinSwitch Markets Desk: The crypto market edged lower as Bitcoin hovered around $112K-$113K, in part driven by awaiting signals from the Federal Reserve and a wave of liquidations — over $523 million of positions were liquidated in the past 24 hours. The tightening correlation between crypto and U.S. equities was also flagged by Citi as volatility returned. On the charts, Bitcoin remains in a tight range, reinforcing a consolidation theme.
