Bitcoin surges after Federal Reserve rate announcement

Bitcoin (BTC) has seen significant fluctuations in its valuation recently, reaching a high of $68,000 within a short span of 17 hours after a dip to $60,760 per unit. This surge followed the latest Federal Open Market Committee (FOMC) session, where the entire crypto market experienced a 5.9% upturn, with Bitcoin rising 6.8% against the U.S. dollar.

Bitcoin experiences a slight surge after the Fed rate announcement

The FOMC session, which concluded with the U.S. Federal Reserve maintaining the existing benchmark interest rate, had a notable impact on BTC’s price. It surged from the $65,500 range to $68,058 per coin by 6:15 p.m. Eastern Time (ET) on Wednesday. As of now, the crypto market is active with a trading volume of $207 billion, with BTC trades contributing $72.93 billion to this figure.

BTC is currently trading slightly below the $68,000 mark at $67,432 per unit at 6:55 p.m. ET on Wednesday. The dominant trading pairs for BTC include USDT, FDUSD, and the U.S. dollar. Among these, Circle’s USDC ranks as the fourth most traded pair with Bitcoin, while the Korean won holds the fifth spot, accounting for 3.36% of the day’s global transactions.

Trading volume and market dynamics

The leading spot Bitcoin exchanges by volume are Binance, Coinbase, Bybit, Okx, and Upbit. The global weighted average price of BTC is $67,631 per unit, but South Korean crypto trading platforms Upbit and Bithumb are seeing BTC exchange at a premium, reaching $74,993 per coin. On the derivatives front, a significant number of short sellers faced setbacks, with $151.69 million in BTC short positions liquidated, along with over $128 million in ETH long positions from leveraged trades.

In total, the crypto market witnessed a substantial $444.66 million in liquidations throughout the day, including $241.03 million in long positions and $203.63 million in short positions across major derivatives exchanges. By 8:11 p.m. on Wednesday, BTC had recovered to the $67,877 range, showcasing its resilience and volatility within a short timeframe.

Current metrics from intotheblock.com indicate that 96% of BTC holders are currently seeing profits, reflecting the positive sentiment among investors. Over the past week, there has been a notable inflow of $19.79 billion and an outflow of $20 billion on exchanges, indicating active trading and movement of BTC. Moreover, this week has witnessed BTC transactions exceeding $100,000, totaling $170 billion in value.