The Fed’s unanimous rate hike was largely priced in, while Bitcoin traded below $76,000 after slipping from a recent range. Market correlations and onchain support offer competing signals for what may come next.
What happened
The Federal Reserve’s vote to hike rates was unanimous, while the expected 25-basis-point increase was largely priced in. Bitcoin was trading at $76,300 after the news.
Bitcoin breaks below its recent range
Bitcoin declined nearly 3% over the past 24 hours and traded just under $76,000. Chart analysts characterized the break below its recent range as a bearish signal.
Support levels come into focus
Bitcoin traded below $76,000 into the Federal Reserve’s interest-rate decision. Onchain support for the cryptocurrency thickened at $68,000.
Bitcoin’s market relationships are mixed
Bitcoin’s reported short-window correlation with the Dollar Index was nearly zero, with one measure putting it at 0.08. Its correlations with the S&P 500 and Nasdaq were 0.43 and 0.30, respectively, while its correlation with gold was 0.28.
Other assets also moved
Retail sales rose 1.2% in August. Ether and Solana each fell about 3% in the reported market move.