Crypto Markets Rally as Fed Delivers First Rate Hike Since 2023; Zcash Surges Past $1,350
On Thursday, the Federal Open Market Committee increased the federal funds target range by 25 basis points to 3.75%-4%, marking the first rise since 2023. Bitcoin climbed to $76,621, Ether reached $2,444, and Solana hit $100.57, pushing the total cryptocurrency market capitalization above $2.7 trillion. Fed Chair Kevin Warsh commented that inflation is still "too high." Projections indicate a median policy rate of 4.1% by 2026 and 2027, with 16 out of 18 policymakers anticipating another increase. Zcash experienced a surge of over 20%, bringing its market cap to approximately $23 billion. Bitcoin ETFs recorded $296 million in net outflows on Wednesday. Nasdaq 100 futures rose by 1.04%, while S&P 500 futures increased by 0.81%, gold by 1.02%, and the U.S. Dollar Index decreased by 0.17%.
Key facts
- The FOMC raised the federal funds target range by 25 basis points to 3.75%-4%, the first rate increase since 2023
- Bitcoin reached $76,621, up 0.88% over 24 hours, while Ether gained 1.1% to $2,444 and Solana rose 2% to $100.57
- Total crypto market capitalization recovered above $2.7 trillion after falling from about $2.73 trillion on September 3 to $2.53 trillion
- Zcash jumped more than 20% over seven days, briefly trading above $1,350 and reaching a record near $1,400, up roughly 160% this year
- A Zcash governance vote with nearly 2.4 million ZEC participating and 99.9% support backed reducing block times from 75 seconds to 25 seconds
- Zcash Labs announced an $80,000 agreement with Ledger for Ironwood shielded pool integration, and Paradigm co-founder Matt Huang disclosed the firm owns ZEC
- Aggregate crypto futures open interest climbed to $64.4 billion from $59.7 billion on Monday, with 24-hour volume at $112.6 billion
- U.S. spot Bitcoin ETFs recorded about $296 million in net outflows Wednesday, with over $1 billion withdrawn across seven sessions since September 8
Entities
Artists
- Kevin Warsh
- Matt Huang
Institutions
- Federal Reserve
- Federal Open Market Committee
- Zcash Labs
- Ledger
- Paradigm
- CoinDesk
- CoinMarketCap
- Coinalyze
- NFT Plazas
- Monero
- NEAR Protocol
- Venice Token
- Pump.fun
Locations
- United States