#PoWMiningNotSecurities
đ´why crypto market rising?
The cryptocurrency market is up today, with the total market capitalization rising by approximately 3.2% in the last 24 hours to reach $2.8 trillion on March 20. The gains were led by Bitcoin
BTC
$84,186
and Ether
ETH
$1,999
, which have risen around 3% and 4%, respectively.
Letâs look at the top catalysts driving the crypto market rebound today.
Risk-on sentiment pushed the crypto market up
The crypto market rebound mirrors gains in US equities following the Fedâs decision to leave interest rates unchanged.
The S&P 500 and the Nasdaq rose by 1.08% and 1.4%, during the late New York trading session on March 19.
Crypto-related stocks also climbed higher, with crypto exchange Coinbase (COIN) rising by 4.75% and Strategy (MSTR) gaining nearly 7.4%.
The US Dollar Index (DXY) remains at its lowest levels since early November and is down more than 6.04% from its Jan. 13 peak of 110.17.
This comes after the Federal Open Market Committee (FOMC) meeting, which saw the US central bank leave interest rates unchanged at 4.25%-4.50%, meeting market expectations.
The committee now projects two rate cuts by the end of the year.
The latest data from CME Groupâs FedWatch Tool sees 16% odds of a 0.25% cut in May with the odds increasing to 60.1% in June.
With traders now pricing in a higher likelihood of rate cuts, risk assets, such as cryptocurrencies, have seen renewed interest from traders.
Pro-crypto policy expectations
Adding to the marketâs upward momentum is speculation that the US government was preparing an update to its cryptocurrency policy.
