Crypto Majors Consolidate as Traders Brace for Fed Rate Call

Key Moments

• Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) fell more than 3%, 4% and 9%, respectively, after the Clarity Act failed to progress in the Senate on Tuesday.
• All three assets are consolidating on Wednesday as market participants await the Federal Reserve’s interest rate decision and guidance from Chairman Kevin Warsh.
• BTC and ETH remain above key daily EMAs with broadly constructive structures, while XRP trades below its 200-day EMA, keeping a cautiously bearish tone.

Fed Decision Looms Over Crypto Market

Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) are trading under pressure and consolidating on Wednesday after sharp declines in the previous session. BTC, ETH and XRP dropped more than 3%, 4% and 9%, respectively, following the failure of the Clarity Act to advance in the Senate on Tuesday.

Attention has now turned to the Federal Reserve, with investors awaiting the central bank’s interest rate decision and forward guidance from Chairman Kevin Warsh on Wednesday. The outcome and tone of the Fed’s communication could be pivotal for the near-term trajectory of these three leading cryptocurrencies.

Technical Overview at a Glance

Bitcoin Holds Above Stacked EMAs

Bitcoin is changing hands at $75,930 on Wednesday, recovering modestly after a decline of more than 3% the day before. Despite the setback, BTC maintains a constructive bullish profile, with price still trading comfortably above the 50-day, 100-day and 200-day Exponential Moving Averages, which are clustered between roughly $71,400 and $73,600.