Bitcoin Tests $100,000 After Fed Spurs Worst Drop Since September

Fri Dec 20 09:00:00 UTC 2024: ## Bitcoin Plunges Below $100,000 After Fed’s Cautious Stance on Rates

**New York, NY** – Bitcoin suffered a significant drop on Thursday, falling below the $100,000 mark following the Federal Reserve’s less-than-optimistic outlook on future interest rate cuts. The world’s largest cryptocurrency plummeted as much as 4%, reaching a low of $96,789, a decline of over $10,000 from its record high set just Tuesday.

This downturn comes as a blow to the crypto market, with other digital assets experiencing even steeper declines. Ether, the second-largest cryptocurrency, is down 5%, while Dogecoin, a popular meme coin, has seen a sharp 12% drop. Analysts attribute the sell-off to investors’ reaction to the Fed’s cautious approach to monetary policy, which dampens enthusiasm for riskier speculative assets like cryptocurrencies. The situation highlights the volatility inherent in the crypto market and its sensitivity to macroeconomic factors.