Santiment, the esteemed blockchain intelligence firm, has released its latest market insights via a tweet this morning in response to the recent Fed interest rate hike announcement. The report highlights that Bitcoin (BTC) experienced a rapid surge, soaring above $29,200 within three hours of the announcement.
The report suggests that the recent surge in BTC’s value is a momentary respite, as the fiscal policy is expected to cause concern in June of this year. While the 5% increase in interest rates over the past 14 months is less than ideal, it is worth noting that cryptos have been closely linked to equities in the past 18 months, and this correlation should be considered when analyzing the current market trends.
Santiment has raised a pertinent question regarding the sustainability of the correlation between the crypto and equity markets, given the emerging signs of divergence between the two sectors. In a recent development, the crypto market demonstrated a remarkable decoupling from equities, as evidenced by the positive momentum observed across the board. Santiment’s astute observations suggest the crypto market is poised for a promising future.
According to on-chain metrics, Bitcoin’s address activity surged to a two-week high yesterday, with the previous uptick attributed to traders responding to a sudden price dip. Additionally, the report noted no significant short positions for the top cryptocurrencies by market capitalization. These findings suggest a stable market environment for digital assets.
As of the time of publication, CoinMarketCap reports that BTC is currently valued at $29,175.44, with a 1.90% increase in the past 24 hours. This surge has also resulted in a positive weekly performance of +1.36%. The global crypto market cap has also seen a 1.56% increase over the past day, reaching approximately $1.20 trillion. These figures indicate a promising trend for the cryptocurrency market.
Disclaimer: The insights, perspectives, and data presented in this price analysis are published in good faith. Readers must conduct their own research due diligence. Any decision made by the reader is solely their responsibility, and Crypto Outlooks shall not be held responsible for any consequential or incidental harm or loss.
