“So far, bitcoin has moved in lockstep with liquidity,” Dessislava Ianeva, research analyst at crypto data firm Kaiko, told CoinDesk. Ianeva noted that quantitative tightening (QT), which usually happens when the central bank looks to reduce its balance sheet, “was partially offset by the Treasury spending its cash at the Fed and Bank Term Funding Program, but that push is now exhausted.”

“The financial stability tools helped to calm conditions in the banking sector,” said Powell. “Developments there, on the other hand, are contributing to tighter credit conditions and are likely to weigh on economic growth, hiring and inflation,” he continued. “As a result, our policy rate may not need to rise as much as it would have otherwise to achieve our goals.”

The largest cryptocurrency by market capitalization was recently trading at around $26,700, down 2.1% over the last 24 hours, according to CoinDesk data. BTC had challenged $27,500 Thursday morning, but a quick pullback early in the afternoon took the price down to nearly $26,400.

“The current macroeconomic situation is, in our view, conducive for increased crypto adoption,” Joe DiPasquale, CEO of crypto fund manager BitBull Capital, told CoinDesk in an email. “The debt ceiling getting raised also bodes well for risk assets as market participants seek to secure wealth,” he added.

Ether (ETH), the second-largest cryptocurrency by market capitalization, rose more than 1% to hover around $1,830 Monday afternoon. Among other digital assets, LDO, the governance token for the liquid staking platform Lido, surged 11% to trade at $2.15, while indexing protocol The Graph’s GRT token jumped more than 12% to trade at $0.12.

While multi-asset investments as a whole saw $7 million in outflows last week, there were inflows across eight different altcoins including Cardano (ADA), Tron (TRX) and Sandbox (SAND), suggesting, said CoinShares, that “investors are becoming more adventurous, and selective.”

The largest cryptocurrency by market capitalization was recently trading at around $26,950, down over 3% in the past 24 hours. BTC had been hovering above $27,000 Thursday morning before dropping below the threshold around 1 p.m. ET. BTC has been trending downward for much of the past week as investors look for a new price catalyst. Bitcoin fell below $27,000 on Wednesday for the first time since March, regained the threshold before falling again.

Ether (ETH), the second-largest cryptocurrency by market capitalization, followed a similar pattern, dropping by 1% in the past 24 hours to change hands at around $1,860. The CoinDesk Market Index (CMI), which measures the overall crypto market performance, was down 1% over the past 24 hours.

“They [The Fed] want to reduce the footprint of banks [while] they want to consolidate it because they have lost control of financial stability (and) because of foreign reliance, debt to GDP – and now inflation,” said Connors, who believes the Fed will eventually pivot to more dovish policy.

A “worst-of-put option” will also ensure, for example, that “if any underlying (asset) falls, the investors will be “put” into the worst performer. Otherwise, the investor will receive an enhanced yield,” the liquidity provider said.

The largest cryptocurrency by market capitalization was recently trading at around $27,350, down over 5.5% in the past 24 hours, according to CoinDesk data, as investors continued to mull over a surge in interest in the PEPE meme coin and Binance congestion issues that forced the exchange giant to temporarily suspend bitcoin withdrawals over the weekend.

The largest cryptocurrency by market capitalization was recently trading at around $28,800, down 0.3% in the past 24 hours, according to CoinDesk data. BTC slid below $29,000 Thursday morning as U.S. stock markets opened, and remained between $28,700 and $29,000.

In an email to CoinDesk, Michael Safai, managing partner of crypto trading firm Dexterity Capital, said that the latest Fed decision would likely lead to “mixed outcomes” for crypto traders. “While the language on future rate hikes was softened, the Fed left the door open by saying that future decisions will be macro data dependent. Inflation data is improving, but it still isn’t rosy enough to excite crypto traders,” Safai said in an emailed comment.

“Should the economy weaken further (risk-off) this would hurt ETH, causing ETH to underperform to the downside,” Greg Magadini, director of derivatives at crypto analytics firm Amberdata, noted in a recent newsletter. “A recession would cause the Fed to pivot and cut rates later this year (good for Gold and BTC).”

“After a breakout (BTC above ~$25,000), it’s important to pay attention to pullbacks to gauge the buy strength remaining,” bitcoin mining equipment and hosting provider Blockware Solutions Analysts wrote in a newsletter on Friday. “In this case, BTC flashed some pretty bullish signals, as buyers quickly stepped in at the 50-day [simple moving average].”

“Let’s say if we move from phones to glasses, then everything in my earshot becomes ‘real estate,’ and that’s a pretty scary thought,” she continued, adding: “That’s where I think that web3 layer can help enable trust and know that I’m seeing something that is the right thing or the thing that belongs to someone specifically.”

“We will continue to provide unique experiences aimed at combining immersive art and technology to our holders,” Kevin Rose, co-founder and CEO of Proof, said in a statement. “The world Mona has created unlocks a new way for Moonbirds holders to hang out and enjoy digital art together.”

“AI and the speed with which it’s moving, and the deep fakes and really the destruction of reality in the metaverse, or the ability to manipulate it, is going to require a system of trust,” he added. “And that will also require a system of cryptography to verify one’s identity.”

“It’s about weaving a kind of poetry between the DNA of what your brand is, what makes it successful in web 2, understanding what the substrate of web 3 is, and how those things can intertwine to create something new,” Serotonin’s Cassatt said.

As ether’s price rose in April, so did the total value locked (TVL) of Ethereum layer 2, or companion, networks, reaching $10 billion on April 14, its highest level yet. TVL has subsequently declined amid a swoon in crypto prices but remains at around $9.29 billion, more than double where it stood at the start of the year, data from layer 2 analytics site L2Beat shows.

The largest cryptocurrency by market capitalization was recently trading at around $27,350, down 0.4% in the past 24 hours, according to CoinDesk data. BTC dropped below $28,000 on Friday afternoon, part of a two-day slide that followed a week above $30,000. At one point, bitcoin was changing hands near $27,100.

Equity markets also declined, amid a series of disappointing first-quarter earnings, including car maker Tesla, whose revenues fell slightly short of consensus estimates, and Blackstone, the world’s largest alternative asset manager. The S&P 500 and Nasdaq Composite fell 0.6% and 0.8%, respectively for the day. The Dow Jones Industrial Average (DJIA) was down 0.3%.

Ether (ETH) followed a similar pattern, dropping below $2,000 on Wednesday for the first time in almost a week. The second-largest cryptocurrency by market value was recently changing hands around $1,981, down over 4% from Tuesday, same time.

“Even though it breached $30,000, the price was likely to look for support on the downside and potentially consolidate before another leg up,” DiPasquale said, adding that with BTC recently sticking around mid-$29,000, most indicators on the hourly time frame, such as Relative Strength Index (RSI) and Stochastic RSI, hint at a spike upward.

“We’re now witnessing the proof that indeed, when the Federal Reserve stops manipulating markets with infinite money supply, Bitcoin stands alone – uncorrelated,” Belshe wrote, adding that institutional adoption is “about to kick into high gear,” despite regulatory headwinds.

The largest cryptocurrency by market capitalization was recently at $30,030, off a few fractions of a percentage point over the past 24 hours, according to CoinDesk’s data. BTC’s price reached as high as $30,548 earlier Wednesday after the Bureau of Labor Statistics’ much-watched, inflation reading showed the CPI rising 0.1% increase in March, slower than economists’ 0.2% forecast for the month and then February’s 0.4% reading. On a year-over-year basis, the CPI was higher by 5%, down from 6% in February and against expectations of 5.2%.

Among other digital tokens, Solana’s SOL surged over 12% to trade around $23.2, while ETC, the token of Ethereum Classic, an offshoot, or fork, of Ethereum, gained over 4% to change hands at $21.6. The CoinDesk Market Index, which measures overall crypto market performance, was up 2.3% for the day.