Why Bitcoin, Ethereum, Dogecoin, and Solana All Popped Today
The value of cryptocurrencies continued to spike on Thursday morning, following a trend that began Wednesday after the Federal Reserve announced it will end some of its asset purchases and boost the fed funds rate several times in 2022.
Bitcoin (CRYPTO: BTC) was up by much as 5.1% over the last 24 hours, Ethereum (CRYPTO: ETH) rose 10.4%, Dogecoin (CRYPTO: DOGE) popped 6.5%, and Solana (CRYPTO: SOL) led the way by climbing 13.7%. Those pops had faded slightly by midday, when the tokens' values were up by 2.1%, 8.4%, 1.3%, and 9.6%, respectively.
Crypto values started rising around midday on Wednesday when the Federal Reserve announced that it will scale back more rapidly on the bond-buying program that it put in place early in the pandemic. The central bank's bond purchases helped keep interest rates low and the economy moving, but with economic activity picking up steam, unemployment falling, and inflation surging, that stimulus is not needed, according to the Federal Reserve. The bond-buying will now wind down in March.
Source Fool.com
