Bitcoin dropped to around $24,990 Wednesday as investors ignored the U.S. The central bank has announced that it will stop raising interest rates after a nearly year-long period. Altcoins have taken a dive in the late afternoon to fall into negative territory.

The biggest cryptocurrency in terms of market capitalization has recently been trading down 3.2% during the last 24 hours following a drop late afternoon (ET), which sent the asset at its lowest level since the middle of March. BTC has been largely hovering around $26,000 over the past five days, as investors have weighed the impact of Securities and U.S. Exchange Commission lawsuits against crypto exchange giants Binance and Coinbase.

Joe DiPasquale wrote to CoinDesk that the Fed had left rates unchanged. This was what the market expected given the macroeconomic conditions. The initial move was to the downside since the Fed said that this pause would not likely last.

DiPasquale said: “From the perspective of markets, as long Bitcoin remains at $25K, there should be continued consolidation.”

Read more: Fed Prediction: Bitcoin Market Sways Bearish As Analysts Anticipate “Hawkish rate-hike Pause”

Ether traded at $1,650 recently, down 5.1% since Tuesday. It also hit a three-month high. Other major cryptos that were mentioned in SEC actions have also fallen. ADA, the Cardano token, recently fell more than 5%, but SOL, MATIC and SOL, the native cryptos for the Solana, Polygon and Polygon networks each dropped more than 3%. The CoinDesk Market Index was trading sideways recently. This index is a measure for the overall performance of the crypto market. CoinDesk Bitcoin & Ether Trend Indicators have maintained their downtrend positions for days, reflecting investor jitters.

Nevertheless, the indicator pointed bullishly. According to Valkyrie Investments, a price pattern known as “throwback” emerged in bitcoin’s daily chart. This could refuel bulls for a rally towards $37,000. In technical analysis, a throwback is a price drop to a former breakout level or resistance-turned-support. After a breakout the price will rally for a few days, before losing upward momentum. Then it will return to the breakout level. Thomas Bulkowski explained in his book, “Visual Guide to chart patterns,” that prices usually surge after a throwback.

Equity indexes also fell on longer-term fears that the Fed’s current ceasefire in rate increases will only be temporary, as it focuses its efforts on reducing inflation to the long-standing target of 2.5%. The Nasdaq composite and S&P500, which are heavily tech-heavy, grew ever so slightly but the Dow Jones Industrial Average fell 0.7%.

U.S. CPI Inflation Slowed to 0.1% in April; Bitcoin Increases

Markus Levin, the co-founder and CEO of the blockchain geospatial Oracle system XYO Network wrote an optimistic email to CoinDesk. He stated that the global macro-setup is changing significantly, with the “rate hike pause being the clearest indicator of this change.” Inflation has been falling rapidly. Central banks around the world are injecting liquidity into their economies to stimulate them. Now the focus is on whether or not we will actually experience a deep and broad recession.

Levin said that Bitcoin and other digital assets “have likely already hit the bottom.”

He wrote: “I anticipate sideways movement for BTC for some time, punctuated with bouts of volatility.” “I think that when the BTC halving takes place next year we will be off to the races.”

UPDATE: (June 14, 20,55 UTC, 2023): Updates the bitcoin price and other digital assets price information in the headline and story.

James Rubin is the editor.