The Federal Reserve's recent decision to uphold interest rates in line with predictions has rippled through the realm of cryptocurrencies, shaping market dynamics in its wake.

While the FED's adherence to forecasts was expected, the introduction of a 'dot plot,' which outlines projections for interest rate cuts in the current year, unveiled a surprisingly hawkish outlook.

According to the dot plot, the FED's intention to enact a solitary interest rate reduction in 2024, set at a modest 25 basis points, struck a hawkish chord. Subsequently, a pervasive downward trend cascaded through the cryptocurrency arena. Bitcoin faced a devaluation of approximately 0.75%, yet signs hint at a recovery phase as it now stands at $69,400.

On the flip side, Ethereum saw a dip of around 0.60% subsequent to the FED's decision. Losses in Solana hovered around 0.70%, whereas BNB experienced a depreciation of about 1%.

Conversely, the overall market capitalization of 'other' altcoins, excluding the top 10 market leaders, contracted by roughly 0.8%.

In the realm of liquidation, a distinctive pattern emerged. Recent activity in the cryptocurrency landscape witnessed a $21 million liquidation in the past hour, indicating subdued volatility. Of this figure, $16 million stemmed from long positions.

Surprisingly, Ethereum witnessed the highest liquidation levels, surpassing Bitcoin.

This information is provided for educational purposes and should not be construed as investment advice.