Crypto Rises on Fed’s Softer Stance
Federal Reserve Chair Kevin Warsh’s statements boosted cryptocurrencies in the past 24 hours. Bitcoin reached 61,323 in 24 hours, while the cryptocurrency market capitalisation rose roughly 4%. The newly appointed Fed Chair Kevin Warsh said inflation risks have decreased at the ECB Central Banking Forum in Sintra, Portugal. He did not offer any monetary policy advice. Market optimism was boosted by a predicted drop in U.S. employment figures and a soft dollar. From 101.39 a day earlier, the six-currency Dollar Index fell to 101.06. According to the CMC Crypto Fear and Greed Index, crypto market sentiment rose to 21 from 18 a day earlier. The high fear zone gave way to the fear zone. A day earlier at 18, it showed acute fear, and a month earlier at 25. Nearly 70% of the top 100 cryptocurrencies rose more than 1% overnight, supporting the market’s bounce. Only 7 of the top 100 cryptocurrencies have dropped 1% overnight.
Yesterday, long position liquidations totalled $163 million, while short position liquidations exceeded $307 million, suggesting a minor short squeeze. The entire crypto market capitalisation rose 3.7 percent in 24 hours to $2.11 trillion despite liquidation trends. Cryptocurrency trading volumes increased 13% as market capitalisation rose. Bitcoin rose 4.5 percent to $61,239. Current price is 51% below all-time high of 126,198.07 on October 7, 2025. The original cryptocurrency still loses over 30% annually. U.S. Bitcoin Spot ETF net outflows rose to $296 million on Wednesday from $223 million on Tuesday. A $219 million net outflow hit iShares Bitcoin Trust. Reports ranks Bitcoin 14th in global asset market capitalisation. Bitcoin ranks between 13th-ranked Meta Platforms and 15th-ranked Samsung. Bitcoin is the only cryptocurrency in the global top 100.
Ethereum rose 4.7% overnight to $1,645.83. The top alternative cryptocurrency is 67% behind its August 25, 2025 high of $4,953.73. 24 hour trading ranged from 1,648.49 to 1,564.10. But Ethereum still has year-to-date losses of around 45%. In contrast to Tuesday’s $28 million outflow, U.S. Ethereum Spot ETF products experienced $15 million inflows on Wednesday. The iShares Ethereum Trust ETF received $37 million in net inflows. The 4th-ranked BNB rose more than 3% overnight to $555.69. BNB has fallen 59% from its October 13, 2025 peak of $1,370.55. 6th-ranked XRP, a payments-focused cryptocurrency, rose 3.8 percent overnight to $1.07. This price is 72% lower than its January 4, 2018 top of $3.84. The 7th-ranked cryptocurrency rose 9.1% overnight to $81.63. SOL’s pricing is 72% below its January 19, 2025 top of $294.33.
On Wednesday, U.S. Solana Spot ETFs attracted $1 million in net inflows. TRON, ranked 8th, rose 0.03 percent overnight to $0.3164. The selling price is 28% below the cryptocurrency’s all-time high of $0.4407 on December 4, 2024. 9th-ranked Hyperliquid rose 2.7 percent overnight to $64.49. This is 16% lower than its June 16 peak of $76.85. U.S. Hyperliquid Spot ETFs had $3 million in net inflows on Wednesday. The 10th-ranked memecoin Dogecoin rose 4.2 percent overnight to $0.0738. DOGE is 90% below its May 8, 2021 top price of $0.7376.
