Crypto Market Plummets on Fed's Hawkish Outlook

The cryptocurrency sector valuation fell below the $3.5 trillion mark on Thursday, with a 10.7% decline reflecting $390 billion worth of outflows. The crypto market dip has been linked to the US Federal Reserve hinting at a hawkish stance for 2025. Etherum and Solana suffered double-digit losses as investors' skittish reaction triggered a market-wide meme coin sell-off. The Federal Reserve's (Fed) 25-basis-point rate cut on Wednesday aligned with market expectations.

However, it was overshadowed by hawkish comments from Chair Jerome Powell signaling fewer rate cuts in 2025. This triggered an immediate negative response from crypto traders. Within 24 hours of the FOMC meeting, the global crypto market lost 10.7%, erasing over $390 billion in market value, as per Coingecko data. Risk sentiment further deteriorated, with meme coins — known for their high volatility and low liquidity — experiencing the sharpest declines. Major meme coins like DOGE, SHIB, and WIF posted steep losses, while Ethereum and Solana, two leading blockchains for hosting meme coins, also suffered significant price drops. This highlights how the Fed's hawkish stance dampened risk appetite across the crypto market.

España Últimas Noticias, España Titulares

Similar News:También puedes leer noticias similares a ésta que hemos recopilado de otras fuentes de noticias.

Toncoin (TON) Surges 80% in Whale Activity Amid $405 Million Market Sell-offCrypto market sees sell-off ahead of Fed's rate decision
Fuente: Utoday_en - 🏆 295. / 63 Leer más »

Crypto Market Dips Following Fed's Hawkish 2025 Rate OutlookThe Federal Reserve's decision to slow down rate cuts in 2025, coupled with increased inflation expectations, has triggered a sell-off in the cryptocurrency market. Bitcoin and major altcoins, including Ethereum, XRP, Solana, and Dogecoin, experienced significant losses.
Fuente: FXStreetNews - 🏆 14. / 72 Leer más »

Crypto Market Sell-off as Fed Signals Fewer Rate CutsThe cryptocurrency market experienced a sell-off on Wednesday, December 18, 2024, as the Federal Reserve (Fed) projected fewer rate cuts in 2025. Bitcoin, XRP, AVAX, and SOL all witnessed significant losses, with altcoins particularly hard hit.
Fuente: FXStreetNews - 🏆 14. / 72 Leer más »

Fed Hints at Gradual Rate Cuts: Crypto Market RespondsMarkets reacting to Fed's November meeting minutes
Fuente: Utoday_en - 🏆 295. / 63 Leer más »

Crypto Market Awaits Fed Decision, Powell's Statement; What to ExpectMarkets will look to Fed's updated policy statement and Fed Chair Jerome Powell's press conference
Fuente: Utoday_en - 🏆 295. / 63 Leer más »

US Inflation Rises Again, Could Hawkish Fed Pivot Curb Crypto Bull Market?Crypto Blog
Fuente: Crypto_Potato - 🏆 568. / 51 Leer más »