The global crypto market turned green after a long period of anticipation building around the expected Federal Reserve rate cuts. The cumulative crypto market cap gained by almost 3% over the last day to stand at $2.14 trillion. Its 24 hour trading volume spiked by 20% to breach the $91 billion mark.
In a historic move, the Federal Reserve reduced interest rates by 0.5%, marking its first cut since the early days of the COVID pandemic. This 50 basis point reduction stood as the largest since 2008 and aimed to boost the labor market and calm inflation.
Crypto bulls bleed as BTC hits $62K
As per the data shared by Coinglass, more than 67K traders were liquidated in the last 24 hours as the total liquidations breached $200 million. The largest single liquidation order of BTC/USD valued at $8.93 million happened on Bybit.
However, $123.7 million worth of liquidated bets (61%) turned out to be short positions. This suggests that the traders were expecting crypto collapse over the Fed’s decision but the biggest digital assets printed green indexes.
Bitcoin (BTC) recorded a bullish spike after the major rate cut and breached the $62,000 price level on Thursday. BTC has seen a very fluctuating 24 hours of trading as once it was trading around the $59K zone and soon it took off to regain a stable ground over $62K.
Data shows that more than $75 million worth of bets set on Bitcoin price got liquidated over the last 24 hours. $57 million worth of liquidated positions (75%) turned out to be short bets. BTC price surged by 3% in the past 24 hours, signaling a positive investor sentiment. Bitcoin is trading at an average price of $62,034, at the press time.
Altcoins going strong
Ethereum (ETH), struggling due to selling pressure, recorded a surge of around 4% in the last 24 hours. The recent surge has helped Ether to wash off the loss seen over the last 7 days but the 30-day metric shows that it still stands down by 10%. ETH is trading at an average price of $2,413, at the press time.
Top altcoins like Solana (SOL) and Cardano (ADA) also registered greens. SOL price jumped by 6% while ADA gained by 4.5% over the last 24 hours. The meme crypto category saw a cumulative surge of 2% as Dogecoin (DOGE) and Shiba Inu (SHIB) soared by 4% each.
Source: https://www.cryptopolitan.com/crypto-bullish-rally-ignited-after-rate-cut/