The market this morning

Fed Delivers First Rate Hike Since 2023 as Bitcoin Holds Above $76,000, Zcash Jumps 23%

By Crypto Info News

Good morning. The Federal Reserve raised interest rates for the first time since 2023, a unanimous quarter-point move. The Block reported that bitcoin and ether swung afterward, with Warsh singled out for taking aim at inflation. Cointelegraph reported that bitcoin showed little immediate reaction to the increase, even as 16 of 18 Fed officials said they expect at least one more hike before the end of the year.

Goldman has revised its outlook, CoinDesk reported, now forecasting a further 25 basis point hike in October and pointing to the Fed's own hawkish near-term rate projections.

In the day's snapshot, bitcoin traded at $76,515, up 0.76349% over 24 hours but down 2.7% over the week, with a market capitalisation of $1,536,864,738,115 and 24-hour volume of $30,777,485,898. Ether stood at $2,443.55, up 1.87484% over 24 hours and down 1.7% over the week. CoinDesk reported that bitcoin traded above $76,000 as the Fed projected limited further tightening, and that Zcash jumped 23% in the same session; Paradigm's Matt Huang discussed Zcash's role as a privacy complement to bitcoin, per the outlet.

On the legislative front, The Block and Cointelegraph both reported that a House committee advanced a bill to codify Trump's Strategic Bitcoin Reserve, which would lock up bitcoin acquired through civil and criminal forfeiture for 20 years. Separately, Decrypt reported that a crypto tax bill cleared a House committee after the Clarity Act's earlier setback; the bill would exempt qualifying crypto fees from gain-or-loss calculations and restrict tax-loss deductions on tokens sold and quickly repurchased.

The Clarity Act's own prospects remain disputed. The Block reported that Senator Gillibrand said Democrats are still committed to passing the bill, though industry analysts told the outlet it is highly unlikely to pass this Congress, pointing instead to SEC and CFTC rulemaking. Cointelegraph reported that Adrian Wall, managing director of the Digital Sovereignty Alliance, said senators from both parties are considering another attempt to advance the bill during a lame-duck session.

Legal exposure also featured. Cointelegraph reported that the Celsius estate has sued BitMEX, alleging the exchange wrongfully liquidated and seized 6,360 BTC — worth nearly $490 million — during the March 2020 market crash, with the suit arriving ahead of BitMEX's own closure. And The Block reported that South Korean police have charged 26 Polymarket users with illegal gambling, following the country's decision last month to block local access to the platform after its media regulator ruled the platform offers illegal gambling.