On September 17, the Fed cut its benchmark rate for the first time since late 2024. The news buoyed the altcoin sector.
According to CoinGecko, Avalanche (AVAX) led gains among the largest cryptocurrencies by market value, rising nearly 10% over the past 24 hours to $32.9.
HYPE, the token of the decentralised exchange Hyperliquid, jumped 7% to a record $60.
Meanwhile, BNB topped $1,000 for the first time. Earlier, media reported that Binance is in talks with the US Department of Justice to end oversight by US authorities.
Solana broke through $246, a level last seen in January. Dogecoin rose 5.1% to $0.28. Cardano and Chainlink gained 5% and 4.7%, respectively.
Bitcoin edged up 0.4%, holding around $117,000. Ethereum rose 2% to $4,600.
Analysts offered varied views on the market’s current momentum and outlook.
Benjamin Cowen, founder of ITC Crypto, noted that altcoins traded against Ethereum have been rising steadily for the past four weeks — since the second-largest cryptocurrency set a new all-time high.
He suggested the trend could persist, a view supported by the TOTAL3-USD/ETH chart.
A trader known as Ali backed the notion of sustained bullish momentum in altcoins. He highlighted the positive impact of the Fed’s decision, pointing to more than $2.1 billion of USDT and USDC inflows to Binance.
He noted a sharp rise in altcoin inflows to major exchanges and a near-doubling of address activity since early September. In his view, improved liquidity and institutional activity are supporting the sector’s momentum.
Michaël van de Poppe, founder of MN Capital, stressed that a significant altcoin rally will begin only after bitcoin stabilizes.
Analysts have named three drivers of an altseason: the Fed’s rate cut, rising corporate reserves and the potential launch of new crypto ETFs.
