Crypto Markets Defy Interest Rate Hike as Ethereum Surges

The Federal Reserve raised interest rates by 25 basis points to a range of 3.75%-4%, marking its first hike since 2023, and signaling that further tightening may still be ahead.

This decision came as a surprise to many, with 16 out of 18 officials expecting at least one more increase this year.

The move pushed Treasury yields and the U.S. dollar higher, putting pressure on risk assets, but surprisingly, crypto markets reacted positively.

Ethereum (ETH) price rose by 2.42% to $2448.88, while Bitcoin reached a high of $76,621.