Crypto Prices Surge Following Rate Cut by the US Federal Reserve: Nov. 08 Update

The global crypto market cap is down by 0.60%, hovering around $2.5 trillion with an FGI of 72 points for greed sentiments, as of Nov. 08. The slight dip has left the crypto market unaffected now that the US Federal Reserve has slashed lending rates by a quarter point, that is by 25 bps. The decision was due this Thursday with anticipation that the Fed would go more dovish than it did in September 2024, that is when rates were brought down by 50 bps despite a little hint of that factor.

BTC and ETH have marked crucial upticks. Other cryptocurrencies are in the picture too, like SOL and DOGE which have soared decently in the last 24 hours.

ETH Outperforms BTC Amid Upticks

Ethereum tokens have once again outperformed Bitcoin tokens in a single-day growth. BTC is exchanging hands at $75,891.65, up by 1.44% to now test the support level of $75k for a potential surge to $80,000 by the end of November 2024. Analysts believe that bitcoin and gold will benefit the most after Donald Trump assumes the US Presidential office in January 2025. That said, chances are that their values will see a boost in the days to come. Spot Bitcoin ETFs recorded a massive inflow of $1.3 billion on November 07, 2024, taking the historical cumulative net inflow to $25.5 billion.

Courtesy: Coinmarketcap

Ethereum tokens are closer to $3,000 and could breach that mark in the next week. Current value is $2,906.63, up by 2.45% in a single day and 15.76% in weekly gains. The projected year-end value for ETH is $4,000 with an alternate optimistic estimate of $4,250. Spot Ether ETFs are lagging in comparison to Spot Bitcoin ETFs. The net inflow on the same day was $79.7 million for a historical cumulative net outflow of $410.1 million. Nevertheless, there is now a 2-day streak of inflows for the segment.

Meme Coins Present a Mixed Reaction

While most of the digital tokens in the section of meme coins are up, some have plunged in the last 24 hours. To primarily focus on DOGE and SHIB, both are up by 2.55% and 1.55%, respectively, to a value of $0.1978 and $0.00001909, applicable in the same order. The difference between their market cap rallies approximately at $18 billion with Dogecoin leading the chart at the top. Shiba Inu has a lot to catch up to, especially since its weekly gains have fallen behind DOGE.

Dogecoin has a weekly gain of 24.12% and Shiba Inu has a weekly gain of 9.32%. Their market cap is $29.03 billion and $11.27 billion, respectively. The collective market cap of the meme coin segment comes to around $69.69 billion with a trading volume of $11.23 billion.

Other Gainers and Losers

SOL has added 5.80% to its value and is now exchanging hands at $199.29. It has a higher probability of reaching $205 by the end of this month, or $210 by the same deadline. That would pave the way for an uptick to $250 as the year draws to its conclusion. XRP and BNB are down by 0.55% and 0.39%, applicable in the same order.

NEIRO has once again made gains in the last 24 hours. The meme coin is up by 19.06% – making it one of the biggest gainers on the charts. PEPE is up by 5.39% while POPCAT has lost momentum despite a rise of 1.08%.

Conclusion

A 25 bps rate cut has clarified that the prices of cryptocurrencies will rise in the days to come. It further gains strength because BTC and Gold are poised to make gains since Donald Trump won his contest against Kamala Harris.

Disclaimer: Values are true at the time of writing this article. Content is not investment advice.

Also Read: Fed Rate Cut Sends Bitcoin Price to New ATH at $76,700!