Crypto Market Consolidates as Fed Rate Hike Fears Weigh on Sentiment

The cryptocurrency market is experiencing a period of consolidation on Friday, with Bitcoin (BTC) trading at around $84,000 after paring its losses. Ethereum (ETH), which had been on the rise earlier in the week, has also declined, currently trading marginally below $2,700.

Ripple (XRP), however, is bucking this trend, edging higher and trading at $1.54. This suggests that there remains buy-side pressure even as profit-taking weighs on price action.

The broader market sentiment is being weighed down by fears of a Federal Reserve rate hike in October, which would bring interest rates to the 4.00%-4.25% range. Despite this, appetite for digital assets remains elevated, with the crypto Fear & Greed Index steady at 71 in the Greed territory.