Cryptocurrency Market Takes a Dive: What Does the Future Hold?

Bitcoin and Ethereum Price Prediction

• Bitcoin rose today, but decreased steadily. Ethereum also declined due to inflationary concerns and uncertainty in China’s cryptocurrency market.
• North Korean hackers have been attacking cryptocurrency exchanges and utilizing phishing schemes to steal digital money for many years.
• The Federal Reserve has hinted that it will soon be more aggressive with raising interest rates, which is expected to keep the crypto market low.

Recent Market Declines

Recently, Bitcoin has experienced a triple bottom of $22,350, causing a bearish sentiment in the cryptocurrency market. This was followed by a drop of 4.5% on Wednesday, while Ethereum saw a value lower than yesterday’s high as well. U.N experts have attributed some of these declines to North Korean hackers who have been stealing virtual assets from exchanges through phishing schemes for many years now.

Fed’s Interest Rate Hikes

Fed governors Joshua Rosner, Lael Brainard, and Randal Quarles have stated that the decline in bitcoin prices is ultimately a good thing and central banks will continue to raise interest rates at a consistent rate this year. These comments from the Fed suggest that it will soon be more aggressive with its actions regarding cryptocurrencies, which could keep their values low for an extended period of time.

Risk-Off Crypto Market Sentiment

As of today, the global cryptocurrency market has failed to extend its previous upward rally and lost some ground around below $1.05 trillion on the day due to risk-off sentiment caused by rising interest rates announced by the Fed earlier this week.

Will The Triple Bottom Trigger A Bullish Bounce?

The current situation calls into question whether or not the triple bottom of $22,350 can trigger a bullish bounce in BTC values or if investors should remain cautious until further developments occur concerning North Korean hackers stealing virtual assets or higher interest rates being imposed by central banks over time.