Bitcoin, Ethereum Flat, While XRP, Dogecoin Drops After US Strikes Iran: Analyst Says Difficult For BTC To Hold Above $40,000

💡 Bitcoin and Ethereum remain stable, but XRP and Dogecoin plummet after the US strikes Iran, according to a crypto analyst.

The US strikes in Iran have sent shockwaves through the cryptocurrency market, with Bitcoin and Ethereum remaining relatively flat while XRP and Dogecoin plummet.

The Federal Reserve delivered a hawkish surprise on Wednesday, signaling that interest rate cuts remain further away than markets had hoped. Fed Chair Jerome Powell told reporters that the central bank needs "greater confidence" that inflation is sustainably declining before it will consider easing policy.

The 10-year Treasury yield surged to 4.8% in the aftermath, its highest level since October 2023. $TLT fell sharply as bond traders repriced the timing of the first cut from March to June.

Cryptocurrency Market Reaction

The crypto market was already under pressure due to a series of high-profile hacks and security breaches. The US strikes in Iran have added further volatility to an already uncertain environment.

The price of Bitcoin ($BTC) has been hovering around the $40,000 mark, with some analysts predicting a potential 20% correction in the coming weeks. Meanwhile, Ethereum ($ETH) has seen a minor increase in price, but its overall market capitalization remains stagnant.

XRP and Dogecoin Drop Sharply

XRP, the third-largest cryptocurrency by market capitalization, has seen a significant decline in price, dropping by over 10% in the past 24 hours. Dogecoin, a popular meme-based cryptocurrency, has also plummeted, with its price falling by over 15%.

What It Means for Investors