[Bitcoin Now] Decline After US Interest Rate Hike... Investor Sentiment Also Down

[Image source=Yonhap News]

[Asia Economy Reporter Lee Jung-yoon] The price of Bitcoin, a leading cryptocurrency that had been rising following the U.S. Federal Reserve's interest rate hikes, has turned downward.

According to Upbit, a domestic cryptocurrency exchange, as of 12:05 PM on the 18th, the price of Bitcoin recorded 49.73 million KRW, down 0.67% (337,000 KRW) from the previous day. The aggregated price on CoinMarketCap, a global cryptocurrency market data site, showed a 1.27% decrease from the previous day to $40,565 (42.922 million KRW).

Bitcoin prices had been on the rise after the Federal Reserve raised the benchmark interest rate by 0.25%, but are now declining. On the previous day, Bitcoin surged more than 4% on relief that uncertainty had been removed due to the interest rate hike.

Investor sentiment is also contracting. Dunamu, the operator of Upbit, reported its Digital Asset Fear and Greed Index at 48.09, indicating a 'neutral' stage. This is a 1.43-point drop compared to 49.52 (neutral) the day before. Dunamu's Digital Asset Fear and Greed Index is divided into stages: 'Extreme Fear (0?20)', 'Fear (20?40)', 'Neutral (40?60)', 'Greed (60?80)', and 'Extreme Greed (80?100)'. A greed direction indicates increased interest in buying among market participants, whereas a shift toward fear reflects a fear of asset decline, leading to market exits and a chain reaction of price drops.