Bitcoin, Ethereum, XRP, Dogecoin Slide Further Amid Fed's Hawkish Shift: Analyst Paints This Upside Target For BTC If It Holds $64,000 As Support

💡 Bitcoin and Ethereum continue to slide as the Fed signals higher interest rates.

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 Prices Plummet

Bitcoin and Ethereum have taken a significant hit in recent days, with prices plummeting to $42,000 and $2,800, respectively. Analysts point to the Fed's hawkish shift as a major contributor to the decline, citing higher interest rates and reduced investor appetite for risk.

XRP and Dogecoin Suffer

XRP and Dogecoin have also suffered in the wake of the Fed's announcement, with prices dropping to $0.60 and $0.05, respectively. The cryptocurrency market as a whole has been impacted, with $BTC and $ETH leading the decline.

Analyst Weighs In

According to one analyst, if Bitcoin can hold $64,000 as support, it could potentially reach an upside target of $80,000. However, this would require a significant shift in market sentiment and a decline in interest rates.

Market Reactions

Investors are closely watching the cryptocurrency market as it responds to the Fed's hawkish shift. With interest rates likely to remain elevated, some analysts predict a continued decline in cryptocurrency prices.

What It Means for Investors