BITCOIN, ETHEREUM AND ALTCOINS HOLD INTRADAY GAINS AFTER FED HIKES INTEREST RATES BY 0.75%

Last updated: June 19, 2025, 19:19 | Written by: Barry Silbert

The world of cryptocurrency is no stranger to volatility, often reacting swiftly to pronouncements from central banks like the Federal Reserve. Bitcoin, Ethereum and altcoins hold intraday gains after Fed hikes interest rates by 0.75% Altcoins Bitcoin Ethereum Fed gains hikes holdRecently, Bitcoin, Ethereum, and a range of altcoins have been navigating a complex landscape of economic signals, primarily the Fed's decisions on interest rates.We've witnessed a fascinating dance between market anticipation, immediate reaction, and subsequent consolidation.This article dives deep into how these digital assets have responded to the Fed's policies, particularly the 0.75% interest rate hike, and the factors contributing to their intraday gains.From initial drops mirroring traditional market reactions to surprising rebounds and the influence of FOMC minutes, we'll explore the key drivers shaping the current crypto market. Bitcoin ($104,870.00 ) (BTC) retreated and reversed its intraday gains after the Federal Reserve announced its third consecutive 75 basis point (bps) interest rate rise on Sept. 21. Traders sold the news. BTC s price dropped circa 6.5% from its intraday high of $19,950, hitting $18,660 minutes after the Federal Open Market Committee sWe'll also delve into how traders are strategizing around these announcements and what potential future rate adjustments could mean for your crypto portfolio.Understanding these dynamics is crucial for anyone looking to navigate the ever-changing world of digital finance and make informed investment decisions.

The Initial Shock: Bitcoin's Reaction to the 0.75% Rate Hike

When the Federal Reserve announced its third consecutive 75 basis point (bps) interest rate hike on September 21st, the immediate reaction was a familiar one: a retreat in the price of Bitcoin (BTC). Bitcoin, Ethereum and altcoins hold intraday gains after Fed hikes interest rates by 0.75% Septem 0:03This wasn't unexpected; it mirrored a common trend in financial markets where assets perceived as riskier tend to decline in the face of tighter monetary policy.Traders, often acting on sentiment, seemed to ""sell the news,"" contributing to the downward pressure.For instance, BTC's price dropped approximately 6.5% from its intraday high of $19,950, briefly hitting $18,660 minutes after the Federal Open Market Committee's (FOMC) statement.This demonstrates the sensitivity of the crypto market to macroeconomic announcements, even those widely anticipated.

Why does this happen?

The rationale behind this initial decline is multifaceted:

Risk Aversion: Higher interest rates make borrowing more expensive, potentially slowing down economic growth. Bitcoin, Ethereum and altcoins hold intraday gains after Fed hikes interest rates by 0.75% cointelegraph.comThis often leads investors to reduce their exposure to riskier assets like cryptocurrencies.
Opportunity Cost: With rising interest rates, traditional investments like bonds offer more attractive returns, leading some investors to reallocate their capital away from crypto.
Leveraged Positions: Many crypto traders use leverage, which amplifies both gains and losses.When prices decline, leveraged positions can be liquidated, further exacerbating the downward pressure.

Altcoins Outperform: A Post-Decision Shift

Interestingly, while Bitcoin initially struggled after the rate hike, altcoins – cryptocurrencies other than Bitcoin and Ethereum – demonstrated relative strength. Bitcoin, Ethereum and altcoins hold intraday gains after Fed hikes interest rates by 0.75% Satoshi Prime Uncategorized SeptemIn some instances, they even outperformed BTC in the period following the announcement. In addition to a 0.75% basis point hike, the Federal Reserve also set its 2025 target interest rate at 4.4%, leading Bitcoin analysts to forecast further downside for BTC.This divergence highlights the nuanced dynamics within the crypto market and the increasing sophistication of investors. BTCUSD Bitcoin Bitcoin, Ethereum and altcoins hold intraday gains after Fed hikes interest rates by 0.75%. In addition to a 0.75% basis point hike, the Federal Reserve also set its 2025 targetCryptocurrencies excluding ether and bitcoin have risen 5.7% since the decision was announced

What factors contributed to altcoins' resilience?

Lower Market Caps: Altcoins generally have smaller market capitalizations compared to Bitcoin, making them potentially more susceptible to price swings but also capable of experiencing higher percentage gains.
Specific Project Catalysts: Individual altcoins often have unique drivers, such as project-specific developments, partnerships, or technological advancements, that can insulate them from broader market trends.
DeFi and Innovation: Many altcoins are associated with innovative projects in decentralized finance (DeFi) and other emerging sectors, attracting investors seeking higher growth potential.

This outperformance underscores the importance of diversifying a crypto portfolio and not solely focusing on Bitcoin and Ethereum.While these two remain the dominant players, exploring altcoins can offer exposure to different investment themes and potentially higher returns, albeit with increased risk.

The Intraday Rebound: A Shift in Sentiment

Despite the initial dip, Bitcoin, Ethereum, and many altcoins managed to hold intraday gains and even rebound in the hours and days following the Fed's announcement. Bitcoin and altcoins rally after the Fed s rate pause, with BTC breaking out of a bull flag pattern and targeting $116K. Powell s crypto remarks and Trump s policies fuel further optimism.This resilience suggests a more nuanced market response than a simple sell-off.At the time of writing, BTC has rallied by close to 6% from an intraday low of $95,829 to reach an intraday high of $101,527 according to data from CoinMarketCap. Leading cryptocurrencies consolidated over the weekend after the Federal Reserve's dovish signal spurred a rally. What Happened: Bitcoin briefly hit $65,000 Sunday before relegating to theEthereum also split into a bullish run immediately after the FED rate decision. At the time of writing, BTC has rallied by close to 6% from an intraday low of $95,829 to reach an intraday high of $101,527 according to data from CoinMarketCap. Ethereum also split into a bullish run immediately after the FED rate decision.Several factors likely contributed to this positive shift.

Explaining the rebound:

Market Overreaction: Sometimes, the initial reaction to news is an overreaction.As the market digests the information and assesses the actual impact, prices can stabilize or even rebound.
Buying the Dip: Some investors view price dips as opportunities to buy assets at a discount.This ""buying the dip"" mentality can provide support for prices and help to reverse downward trends.
Hedging Strategies: Sophisticated traders may use hedging strategies to protect their portfolios from potential losses.These strategies can involve buying assets that are expected to perform well in a rising interest rate environment, which can indirectly support crypto prices.

For example, investors eyeing the freshly released Fed minutes often aim to capitalize on these gains, showcasing a proactive approach to market fluctuations.

The Role of FOMC Minutes and Future Expectations

The release of the Federal Open Market Committee (FOMC) minutes plays a crucial role in shaping market expectations and influencing crypto prices.These minutes provide a detailed account of the discussions and deliberations that led to the Fed's interest rate decisions. Bitcoin, Ethereum, and other major cryptocurrencies gained value on Thursday, with investors welcoming the United States Federal Reserve s decision to hold interest rates steady while maintaining projections for two rate cuts by year-end.Analyzing these minutes can offer insights into the Fed's outlook on the economy, inflation, and future monetary policy. Bitcoin (BTC) retreated and reversed its intraday gains after the Federal Reserve announced its third consecutive 75 basis point (bps) Bitcoin, Ethereum and altcoins hold intraday gains after Fed hikes interest rates by 0.75%The FOMC minutes are released on Tuesday and the broader crypto market has shown minimum to no effect.

How to interpret FOMC minutes:

Hawkish vs. Altcoins were the better performer after the Fed's decision to lower rates on Wednesday. Cryptocurrencies excluding ether and bitcoin have risen 5.7% since the decision was announced whileDovish Signals: Look for language that suggests a more aggressive (hawkish) or less aggressive (dovish) approach to interest rate hikes.Hawkish signals tend to be negative for crypto, while dovish signals can be positive.
Inflation Concerns: Pay attention to the Fed's concerns about inflation.If the Fed is highly concerned about inflation, it is more likely to continue raising interest rates, which can put downward pressure on crypto prices.
Economic Growth Outlook: Assess the Fed's outlook on economic growth. Posted by u/Cointelegraph_news - 1 vote and no commentsIf the Fed is optimistic about economic growth, it may be more willing to tolerate higher inflation, which could be positive for crypto.

Investors carefully scrutinize these minutes for clues about the Fed's future intentions.Positive data and pronouncements can fuel rallies, while negative indications can lead to pullbacks. Bitcoin posted notable gains in anticipation of the report's release and after, rising 5% from a day prior to $18,275, according to data from CoinGecko. Ethereum rose 5% as well to $1,401 andThe market's behavior in anticipation of and immediately following the release of FOMC minutes is a significant indicator of overall sentiment.

Ethereum's Unique Position: The Merge and Beyond

While Bitcoin is often seen as a bellwether for the crypto market, Ethereum has its own unique dynamics that can influence its price independently of the Fed's actions. Bitcoin, Ethereum and altcoins hold intraday gains after Given hikes rates of interest by .75% . news and more. Buy, Sell and Swap bitcoin, ethereum and 350 cryptocurrencies on BitSwapNow.One significant event that occurred around the time of these interest rate hikes was the ""Merge,"" Ethereum's transition from a proof-of-work (PoW) to a proof-of-stake (PoS) consensus mechanism.

The Merge's impact:

Reduced Energy Consumption: The Merge significantly reduced Ethereum's energy consumption, making it more environmentally friendly and potentially attracting institutional investors concerned about sustainability.
Increased Scarcity: The PoS mechanism reduces the issuance of new Ether tokens, potentially leading to increased scarcity and higher prices.
Staking Rewards: The PoS mechanism allows Ether holders to earn staking rewards, creating a new income stream and potentially increasing demand for the token.

The Merge provided a strong, project-specific catalyst for Ethereum, potentially offsetting some of the negative impact of the Fed's interest rate hikes. The U.S. Federal Reserve s decision to pause interest rate hikes has fueled optimism in crypto markets, driving a bounce in Bitcoin and other major tokens. Fed Keeps Interest Rates Unchanged. The US Federal Reserve Chair Jerome Powell announced the US central bank s decision to pause interest rate cuts at its January meeting on Wednesday.This demonstrates how fundamental developments within a specific cryptocurrency can influence its price trajectory regardless of broader macroeconomic trends. Bitcoin (BTC) retreated and reversed its intraday gains after the Federal Reserve announced its third consecutive 75 basis point (bps) interest rate rise on Sept. 21. Traders sold the news BTC s price dropped circa 6.5% from its intraday high of $19,950, hitting $18,660 minutes after the Federal Open Market Committee s statement. Its decline mirrored a [ ]The Federal Reserve has cut its benchmark fed funds rate by 25 basis points to the 4.25%-4.50% range.The dot-plot projects the Fed lowering rates to 3.9% next year, signaling fewer cuts than in

Practical Strategies for Crypto Investors in a Rising Interest Rate Environment

Navigating the crypto market in a rising interest rate environment requires a strategic and disciplined approach. In December 2025, for example, Bitcoin lost nearly 10% after the Fed said it would take a more aggressive approach to rate hikes. In November 2025, by contrast, Bitcoin gained back above $17,000Here are some practical tips for investors:

Actionable steps:

Diversify Your Portfolio: Don't put all your eggs in one basket.Diversify your crypto portfolio across different types of cryptocurrencies, including Bitcoin, Ethereum, and selected altcoins.
Manage Risk: Use stop-loss orders to limit potential losses and avoid excessive leverage.Understand your risk tolerance and invest accordingly.
Stay Informed: Keep up to date with the latest news and developments in the crypto market, including Fed announcements, regulatory changes, and project-specific updates.
Dollar-Cost Averaging: Consider using dollar-cost averaging (DCA), which involves investing a fixed amount of money at regular intervals, regardless of the price. Bitcoin, Ethereum and altcoins hold intraday gains after Fed hikes interest rates by 0.75% Bitcoin (BTC) retreated and reversed its intraday gains after the Federal Reserve announced its third consecutive 75 basis point (bps) interest rate rise on Sept. 21.Traders sold the newsBTC's price dropped circa 6.5%This can help to smooth out price volatility and reduce the risk of buying at the top.
Long-Term Perspective: Remember that the crypto market is inherently volatile. Bitcoin (BTC) retreated and reversed its intraday gains after the Federal Reserve announced its third consecutive 75 basis point (bps) interest rate rise on Sept. 21. Traders sold the news. BTC s price dropped circa 6.5% from its intraday high of $19,950, hitting $18,660 minutes after the Federal Open Market Committee s statement. ItsAdopt a long-term perspective and avoid making impulsive decisions based on short-term price fluctuations.

By implementing these strategies, investors can better navigate the challenges of a rising interest rate environment and position themselves for long-term success in the crypto market. Bitcoin (BTC) retreated and reversed its intraday gains after the Federal Reserve announced its third consecutive 75 basis point (bps) interest rate rise on Sept. 21. Traders sold the news BTC s price dropped circa 6.5% from its intraday high of $19,950, hitting $18,660 minutes after the Federal Open Market Committee s statement.Leader in cryptocurrency, Bitcoin, Ethereum, XRP, blockchain, DeFi, digital finance and Web 3.0 news with analysis, video and live price updates.

Analyzing the Live Bitcoin Price and Market Volume

The real-time price of Bitcoin and its 24-hour trading volume provide valuable insights into market activity and investor sentiment.A high trading volume typically indicates strong interest and liquidity, while a low volume may suggest uncertainty or lack of conviction. The price of Bitcoin (BTC) is $93,825.31 today as of, EDT, with a 24-hour trading volume of $9.55B.The live Bitcoin price today is $104,364.35 USD with a 24-hour trading volume of $50,255,072,425.45 USD.We update our BTC to USD price in real-time.

Key takeaways:

Price Fluctuations: Monitor the price of Bitcoin closely and analyze the factors driving its movements, such as Fed announcements, news events, and technical indicators.
Volume Trends: Pay attention to the trading volume of Bitcoin and other cryptocurrencies.A surge in volume can signal a significant shift in market sentiment or a potential breakout.
Market Capitalization: Track the market capitalization of Bitcoin and other cryptocurrencies to gauge their relative size and importance within the overall market.

Looking Ahead: Potential Future Rate Adjustments and Crypto

The Federal Reserve's future interest rate decisions will continue to have a significant impact on the crypto market.Predicting these decisions with certainty is impossible, but analyzing economic data and the Fed's communications can provide valuable clues.Bitcoin and altcoins rally after the Fed s rate pause, with BTC breaking out of a bull flag pattern and targeting $116K.

Potential scenarios:

Continued Rate Hikes: If inflation remains stubbornly high, the Fed may continue to raise interest rates aggressively, which could put further downward pressure on crypto prices.
Rate Pause: If inflation begins to moderate and the economy shows signs of slowing down, the Fed may pause its rate hikes, which could provide some relief for the crypto market.
Rate Cuts: If the economy enters a recession, the Fed may begin to cut interest rates, which could be a positive catalyst for crypto prices.

It's crucial to prepare for all potential scenarios and adjust your investment strategy accordingly.Remember that the crypto market is dynamic and unpredictable, and a flexible approach is essential for success.The U.S.Federal Reserve s decision to pause interest rate hikes has fueled optimism in crypto markets, driving a bounce in Bitcoin and other major tokens.

Frequently Asked Questions About Crypto and Interest Rates

How do rising interest rates affect cryptocurrency?

Rising interest rates generally make traditional investments more attractive, leading some investors to reduce their exposure to riskier assets like crypto, causing prices to potentially decline. The live Bitcoin price today is $104,364.35 USD with a 24-hour trading volume of $50,255,072,425.45 USD. We update our BTC to USD price in real-time.The price of Bitcoin (BTC) is $93,825.31 today as of, EDT, with a 24-hour trading volume of $9.55B.

Should I sell my crypto when the Fed raises interest rates?

Not necessarily.While initial reactions may be negative, market sentiment can shift.Consider your long-term investment goals, risk tolerance, and the specific fundamentals of the cryptocurrencies you hold before making any decisions.

What are altcoins and are they riskier than Bitcoin?

Altcoins are any cryptocurrencies other than Bitcoin. The Federal Reserve has cut its benchmark fed funds rate by 25 basis points to the 4.25%-4.50% range. The dot-plot projects the Fed lowering rates to 3.9% next year, signaling fewer cuts than inThey generally have smaller market capitalizations and may be subject to higher volatility and greater risk, but can also offer higher potential returns.

Where can I find reliable information about the Federal Reserve's decisions?

The Federal Reserve's website (federalreserve.gov) is the best source for official announcements, minutes from meetings, and economic data. Leader in cryptocurrency, Bitcoin, Ethereum, XRP, blockchain, DeFi, digital finance and Web 3.0 news with analysis, video and live price updates. BTC $ 104,402.14Reputable financial news outlets also provide comprehensive coverage and analysis.

Conclusion: Navigating Crypto's Future with Informed Decisions

The relationship between Bitcoin, Ethereum, altcoins, and the Federal Reserve's interest rate decisions is a complex and dynamic one. Bitcoin retreated and reversed its intraday gains after the Federal Reserve announced its third consecutive 75 basis point (bps) interest rate rise on Sept. 21. Traders sold the newsWhile initial reactions to rate hikes often lead to price declines, market sentiment can shift, and project-specific developments can influence individual cryptocurrency prices. Bitcoin, Ethereum investors eyeing the freshly released Fed minutes to capitalize on gains. The Fed rate remains constant. FOMC minutes are released on Tuesday and the broader crypto market has shown minimum to no effect. Bitcoin, Ethereum, and other top altcoins have shifted into red zones.By understanding the underlying dynamics, staying informed, and implementing a disciplined investment strategy, crypto investors can navigate the challenges of a rising interest rate environment and position themselves for long-term success.Remember to diversify your portfolio, manage risk, and adopt a long-term perspective.The Fed rate remains constant.

Key Takeaways:

Crypto markets react to Fed interest rate decisions.
Altcoins may outperform Bitcoin in certain situations.
FOMC minutes provide valuable insights into the Fed's thinking.
A disciplined investment strategy is essential for success.

Now, it's your turn.Research thoroughly, understand your risk tolerance, and make informed decisions.The crypto landscape is ever-evolving, and knowledge is your most powerful asset.Consider exploring various crypto exchanges like BitSwapNow to further diversify your portfolio and stay updated with the latest market trends.What steps will you take today to optimize your crypto strategy in light of these insights?