Bitcoin Surges Above $78,000 as DeFi Tokens Lead Post-Fed Recovery

Bitcoin recovered above $78,000 on Friday after the Federal Reserve's rate hike. The move came as DeFi and layer-2 tokens led a broad crypto recovery following the Fed's first rate increase in three years.

The world's largest cryptocurrency added about 2% over the past 24 hours, recovering from a midweek slide that had briefly pushed prices below $75,000.

Starknet (STRK) jumped 18%, Arbitrum (ARB) rose 17%, and Uniswap (UNI) increased by 13%. The DeFi Select Index surged 8.3% since midnight UTC, while Solana (SOL) added 4.5% to $106.14.

Fed Chair Kevin Warsh reiterated that curbing inflation remains the central bank's top priority. However, analysts noted that the decision had been widely anticipated and Bitcoin managed to defend the $75,000 level during Warsh's press conference.