Bitcoin Rejected at $29K, Crypto Market Plunges: Weekend Watch

26. März 2023 Aus Von admin

• Bitcoin jumped above $29,000 yesterday to chart a new nine-month high but was rejected.
• Most altcoins are deep in the red as well, with ARB and STX performing the worst.
• The Fed’s decision to continue increasing interest rates had caused bitcoin to drop by over $2,000 in hours.

Bitcoin Rejected at $29K

The primary cryptocurrency Bitcoin rose above $29,000 yesterday to chart a new nine-month high but was short-lived and quickly retraced hard in the following hours. Altcoins such as SOL, APT, LDO and OKB dropped by more than 5%.

Fed’s Decision Affects Bitcoin

The Federal Reserve’s decision on whether to increase the interest rates had an effect on Bitcoin’s performance. As local banks struggled due to the high rates many expected the Fed would finally revert from its policy but that did not happen as it raised its key rates by 25 basis points causing a drop of over $2,000 for Bitcoin in just hours.

ARB Token Poorly Performs

The recently launched ARB token is today’s poorest performer along with STX. Both tokens experienced losses of more than 20%.

Bitcoin Bounces Off Low Point

Despite dropping significantly Bitcoin bounced off and returned back up to close above $28,000 by Friday. It then briefly spiked above $29,000 (on Bitstamp) for the first time since June last year before being rejected and returning back down again.

Conclusion

Overall while some cryptocurrencies performed better than others they all showed losses after this week’s FOMC meeting which had a large impact on their prices.