Cryptocurrency Bitcoin grew by 2.4% per day, meeting investors' expectations

The value of the flagship cryptocurrency rose above $ 29,000 again — in 24 hours, BTC $56,416.10 Bitcoin -1.81% Market capitalization $1.11 trillion VOL. 24 hours $4.33 billion grew by 2.4%.

Cryptocurrency traders were watching the US Federal Reserve’s decision on interest rate changes. Following a two-day meeting on May 2−3, the agency raised the rate by 25 basis points — from 4.75% to 5% to 5% to 5.25% per annum, which coincided with market expectations.

The price of bitcoin added 1.8% just before the Fed’s decision was announced last night, but quickly pulled back immediately afterward. Later, BTC traded with minimal volatility. After 00:00, the rate of the market’s flagship began to grow and eventually exceeded $ 29,000. At the time of writing, bitcoin is trading at $ 29,086.

The price of Ethereum and other major crypto assets generally followed the market leader’s dynamics — in 24 hours, the leading altcoin rose by 2% to $ 1900. In terms of its capitalization, ETH accounts for 18.3% of the market. Ripple (XRP) rose by 0.7% to $ 0.46, Cardano (ADA) increased by 2% to $ 0.39, and Polygon (MATIC) by 2.5% to $ 0.99. The Solana (SOL) cryptocurrency rose by 1.5% to $ 22.2.

The total market capitalization of cryptocurrencies increased by 2% to $ 1.25 trillion over the day. According to CoinGecko, the daily trading volume amounted to $ 87.1 billion.

According to Coinglass, amid rising cryptocurrency rates, more than 36,000 positions of short traders were liquidated on crypto exchanges during the day, totaling $ 98.76 million.

In a series of tweets, former BitMEX CEO Arthur Hayes shared his opinion on the current situation with banks and how it could affect the cryptocurrency market. The analyst is confident that the collapse of First Republic Bank will not be the last in the financial sector. Hayes expects that after the Fed raises the interest rate, other American banks may face liquidity problems.