12/20

Chainlink Feels the Heat as Fed Outlook Shakes Crypto Market

Chainlink (LINK) has experienced a significant price drop today, driven by a broader downturn in the cryptocurrency market. The decline is largely attributed to a hawkish tone from the Federal Open Market Committee (FOMC) meeting, which has shifted market sentiment negatively. The FOMC's outlook for the upcoming year was less optimistic than anticipated, with only two rate cuts expected instead of the previously anticipated four. This has led to a broad sell-off across major cryptocurrencies, including Bitcoin, which has seen its price fall sharply, dragging down altcoins like Chainlink in the process.

Adding to the pressure on Chainlink, the overall crypto market capitalization has decreased by more than 11% in the past 24 hours, marking one of the worst single-day drops this year. The sentiment was echoed by Jeff Mei, COO at crypto exchange BTSE, who noted, "The Fed rate cut itself was already expected and priced in as markets hinged on the Fed's outlook for next year, which was less optimistic than expected." This has resulted in a cautious approach from traders, further exacerbating the decline in Chainlink's price.

Chainlink's price has fallen by 6.12% today, with the current price at $21.483797. The cryptocurrency reached a high of $23.623938 earlier in the day but has since dropped to a low of $20.123032.