Crypto Recovery Strengthens in Smaller Tokens: Zcash Hits Record with 23 Percent Surge
As Bitcoin rises to $76,621, the recovery in cryptocurrencies has gained strength in speculative tokens, though spot ETF outflows have continued.
Bitcoin climbed alongside other risk assets following the Federal Reserve’s (Fed) interest rate decision. According to CoinDesk data, Bitcoin has increased by 0.88% in the last 24 hours to reach $76,621. Ether rose 1.1%, while Solana (SOL) gained 2% in value.
The Fed raised the policy rate by 25 basis points to the 3.75-4% range. However, investors’ focus shifted from the rate hike to projections for the coming years. Fed President Kevin Warsh noted that inflation has remained high for a long time, while the board’s estimates pointed to an interest rate of 4.1% by the end of 2026 and 2027.
Crypto rally strengthens in smaller tokens
The increase in risk appetite was also reflected in cryptocurrencies. The US Dollar Index fell 0.17%, while Nasdaq 100 futures rose 1.04% and S&P 500 futures increased 0.81%. Gold gained 1.02%, and silver rose 1.52%.
The rise in the cryptocurrency market spread across a broad base. 94 out of 100 assets in the CoinDesk 100 index rose in the last 24 hours. The CoinDesk 80, which tracks small-cap tokens, increased by 4.7%, while the Bitcoin-heavy CoinDesk 5 rose 1.2%.
In contrast, outflows from US spot Bitcoin ETFs continued. According to SoSoValue data, funds saw a net outflow of $295.98 million on Wednesday and $450.33 million the previous day. Total outflows over the seven trading days since September 8 exceeded $1 billion, while the total net assets of the funds fell to $95.19 billion.
Open interest in futures increased
Coinalyze data showed that total open interest in crypto futures rose from $59.7 billion on Monday to $64.4 billion. While $112.6 billion in trading volume was generated in the last 24 hours, $214.3 million worth of positions were liquidated.
Bitcoin futures open interest increased by 1.41% to $26.6 billion, while Ether futures rose 1.39% to $16.7 billion. The long-to-short ratio reached 1.13, indicating that bullish trades have gained weight.
One of the sharpest moves was seen in Zcash (ZEC). Zcash’s open interest increased by 37.84% in 24 hours to $2.2 billion, while the token’s price rose 23% to hit a record of approximately $1,369. In the CoinDesk 80 index, NEAR Protocol (NEAR) gained 16%, Venice Token (VVV) rose 14%, and Pump.fun (PUMP) increased by 7.9%. The Altcoin Season indicator, which remained around 32 for most of the week, rose to 39.