After Fed’s Interest Hike, Bitcoin Reclaims $40K Price Level: Analysis

After FED’s interest hike, Bitcoin reclaimed the $40,000 price point after it dropped below it just recently, so let’s read more in today’s latest Bitcoin news.

The FED decided to raise the interest rates by 25 basis points and Bitcoin’s price went down before the FED decision. However, after FED’s interest hike, the price of Bitcoin reclaimed the $40,000 price point and Avalanche marked the biggest price increase from the altcoins with a 10% surge. After a few days of calm behavior, Bitcoin launched its volatility once again and the coin surged by $3000 to a new high of over $41,500 before dumping back to $39,000.

The bulls returned to the scene and pushed BTC upwards again to above $40,000. the cryptocurrency remained north of the level for the bigger part of the day and then came the latest Federal Reserve Meeting. According to the FED Chair Jerome Powell, there are more plans to increase the interest rates by 25 basis points, and right after, Bitcoin went on the downhill dropping by $1000 in minutes but the asset bounced off fast and surpassed $41,000.

The bulls returned to the scene and pushed BTC above $40,000with the cryptocurrency remaining north of the level for most of the day but then came the latest FED meeting. as of now, BTC lost some traction but it is still up by 1% since yesterday with a market cap of close to $800 billion. The alternative coins went through some similar price movements but most of them are in the green on a daily scale. Ethereum is up by 3% and trades above $2700 with the second biggest crypto dumping below this level earlier this week.

DOGE, Ripple, BNB, and SHIB all produced minor gains with Solana and Cardano being up by 4% each to $87 and $0.85 respectively. Avalanche was the biggest gainer from the larger-cap alts with a 9.5% increase and as a result, AVAX neared $80. the Sandbox is another performer that did well after some notable partnerships with HSBC. The crypto market cap is up by $110 billion in just two days and now stands above $1.8 trillion.

The on-chain analyst Willy Woo tweeted that the coin is showing some green signs that are forming after the winter. Ethereum increased by 6% over the last day and at a price of $2,706 with the second biggest crypto being at its highest price in about a week but hasn’t touched the $3000 mark since March 2. The rival smart contract platform Solana showed a 5% gain over the past day and has a market price above $84 while Polkadot is up by 6% to $18. according to the data from CoinGEcko, the overall market is up by 4% over the past day.