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Crypto prices fall one day after Fed decision

By Monte Stewart


Updated

Tether crypto token on top of American dollars
Tether rose Thursday while other major cryptocurrency prices fell - Photo: Shutterstock

Major cryptocurrencies experienced a flattening effect Thursday, one day after receiving a brief bounce from the US Federal Reserve’s latest forecast.

Bitcoin, the world’s largest cryptocurrency, and other digital coins, known as altcoins, were down in afternoon trading. Solana, which appeared bounce back after taking harder hits than its rivals, bucked the downward trend – as did Tether and USD Coin, which are both pegged to the American dollar.

Bitcoin down 2%

Bitcoin fell more than 2.% to the $48,300 (£36,251) range on trading dollar volume of $29.83bn as 622,000 units changed hands. Ethereum dropped marginally on $22.4bn worth of trades as approximately 5.59 million coins were exchanged.

Binance was down 1.62% on relatively modest trading dollar volume of $1.61bn and 3.03 million coin trades.

Tether was a clear outlier among the top 10 as it rose 3.78% while leading the way in dollar volume at $65.66bn. Take away the dollar sign and the total number of coins traded was virtually on par with that figure.

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XRP/USD

0.61 Price
-3.270% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.01168

DOGE/USD

0.12 Price
+0.190% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.0012872

ETH/USD

3,432.74 Price
+0.350% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 6.00

BTC/USD

64,861.00 Price
+0.420% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 106.00

Shiba Inu investors sell off

Closely watched meme token Shiba Inu, which is named after the same dog breed as Tesla founder Elon Musk’s puppy, fell more than 3%. Investors sold off as more than 32.09 trillion units traded. (Although that number seems high, approximately 549 trillion Shiba Inu tokens, valued at a fraction of a penny, are in circulation.)

Avalanche managed to remain up slightly after spiking on Wednesday 15 December, but Polygon was in the red following its own jump.

Cryptocurrency values had increased temporarily Wednesday after US Fed chief Jerome Powell outlined the US central bank’s plan to end its tapering programme.

Read more: Justworks releases details of upcoming 0m IPO

Markets in this article

BCH/BTC
Bitcoin Cash / Bitcoin
0.00605 USD
0.00004 +0.680%
ETH/USD
Ethereum / USD
3432.74 USD
11.83 +0.350%

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The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
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