The Federal Reserve’s (Fed) decision to cut interest rates by 25 basis points had an unexpected impact on the cryptocurrency market. Bitcoin (BTC) $104,049.2falling below the psychological limit of $100,000, causing sharp sales throughout the market. Ethereum (ETH) 
$3,870.3 and important altcoins such as XRP also received their share of this decline.
Bitcoin and Altcoins Lost Value
Bitcoin lost 4% value and traded at $100,880 after the interest rate cut decision. Its intraday lows and highs were $98,874 and $105,389, respectively. While the market value decreased to 2 trillion dollars, the transaction volume reached 100 billion dollars. Market dominance was recorded as 57.12%.
Ethereum was also affected by this decline and fell 6% to $ 3,652. Its 24-hour low was $3,543 and its high was $3,902. While the total market value of Ethereum was calculated as 440 billion dollars, its daily transaction volume was at 52 billion dollars. XRP, on the other hand, disappointed its investors by experiencing a sharp decline of 10%.
Meme coins also could not escape the downward trend in the general market. dogecoin 
$0.386955 (DOGE) fell 7% to $0.36, while Shiba Inu (SHIB) fell 6% to $0.00002425. Other popular meme coins such as PEPE, BONK and WIF also experienced losses ranging from 12% to 15%.
Market Value Decreased While Transaction Volume Increased
Overall market capitalization fell 5% to $3.44 trillion. However, transaction volume increased by 40% to $251 billion. This showed that there was still high trading activity in the market. The Fear and Greed Index remained stable at 69, revealing that investors’ risk appetite is still high.
According to SoSo Value’s report, there was an outflow of $84 million from Bitcoin ETFs on Wednesday. Grayscale led with an exit of $35 million, while Invesco ranked second with $25 million. BlackRock’s data has not been disclosed yet.
The cryptocurrency market follows a volatile course after the FED’s interest rate cut decision. Bitcoin’s fall below $ 100,000, the decline of altcoins and the increasing transaction volume attract attention. Experts predict that the future movements of the market will depend on FED policies and the development of projects.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
