Official results released: The Federal Reserve raised rates by 25 basis points to 3.75%-4.00%, with a unanimous 12-0 vote, marking the first rate hike since 2023. More noteworthy than the hike itself is the latest dot plot: of 18 officials, 16 expect at least one more rate hike within this year, including four who believe there could be two more—clearly not the “one hike and done” scenario partly priced in by the market.
The price reaction is a bit unexpected, though: $BTC edged up 0.41% to $76,130, and $ETH rose 0.81% to $2,418, showing the typical “bad news absorbed, bad news fades out” pattern, because the market had already sold off in the days leading up to it to digest the expectations. The gold-backed token $PAXG largely traded flat ($4,296, -0.003%). Earlier accumulated safe-haven premium was unwound as uncertainty was resolved.
Technically, the support for BTC in the 75,000-76,000 range has been validated again. As long as hawkish guidance does not trigger a broader wave of sell-offs, the probability remains relatively high that the market will maintain a sideways consolidation and buildup structure in the short term. #FedRateWatch
The price reaction is a bit unexpected, though: $BTC edged up 0.41% to $76,130, and $ETH rose 0.81% to $2,418, showing the typical “bad news absorbed, bad news fades out” pattern, because the market had already sold off in the days leading up to it to digest the expectations. The gold-backed token $PAXG largely traded flat ($4,296, -0.003%). Earlier accumulated safe-haven premium was unwound as uncertainty was resolved.
Technically, the support for BTC in the 75,000-76,000 range has been validated again. As long as hawkish guidance does not trigger a broader wave of sell-offs, the probability remains relatively high that the market will maintain a sideways consolidation and buildup structure in the short term. #FedRateWatch
