These highs peaked after Fed rate cut as BTC took advantage of 23-day high (Market Watch)

After weeks of anticipation, the US Federal Reserve finally cut key interest rates by 0.5%, sparking a massive rally in bitcoin that sent it to a 3-week high of over $62,600 .

Several altcoins have performed even better, with massive gains like BCH, NEAR, AVAX, SUI, TAO and many others.

Bitcoin’s Fed-Induced Rise

This long-awaited week started with a drop in the price of bitcoin that took it from more than $60,000 to less than $58,000 on Monday. This followed the substantial price increase at the end of the previous week, when BTC approached $61,000 for the first time in weeks.

However, the cryptocurrency didn’t stay much lower on Monday, breaking above $61,000 on Tuesday as the Fed’s action hype grew. After the US central bank meeting concluded and Jerome Powell announced a rate cut of 50 basis points, BTC went on a real roller coaster ride.

It moved up and down several times from over $61,000 to $59,000 before the bulls took full control of the market and started a massive rally that pushed the asset to $62,650 this morning. This became its highest price since August 27.

Although it has lost some ground since then, BTC is still hovering near $62,000 and is up 3% on the day. Its market cap is over $1.22 trillion, while its dominance of the highs stands at 54.7% in CG.

Bitcoin/Price/Chart 19.09.2024. Source: TradingView Highs with Biggest Gains

The increasingly volatile altcoin sector has produced some really powerful price increases over the past day. Ethereum has added more than 5% in value and is now well above $2,400, SOL is up 6% and is near $140, while SHIB, LINK, APT DOGE and TON have gained between 5 and 8%.

Additionally, Bitcoin Cash, NEAR, SUI, TAO, STX, FET and some others have posted double-digit gains.

Many lower-cap alternatives, such as POPCAT, SEI, TIA, and WIF, have also risen by double digits, helping the total crypto market cap increase by about $100 billion daily. The metric is now at $2.240 trillion in CG.

Cryptocurrency Market Overview. Source: QuantifyCrypto SPECIAL OFFER (Sponsored) Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive an exclusive welcome offer of $600 to Binance (full details).

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