The correction in the crypto market continues overnight. Without exception, all coins in the top 10 fall, the total market capitalization of the crypto sector drops 4.6 percent and stands at US$3.67 trillion (€3.30 trillion) at the time of writing.

Bitcoin (BTC) is down 2.8 percent, but remains at 101,224 USD (€91,102). Ripple (XRP) is down 6.3 percent and is trading at 2.36 USD (€2.12). The cause of the price correction is yesterday's FOMC meeting of the US central bank Fed.

Although monetary authorities have lowered interest rates to a range between 4.25 percent and 4.5 percent, prediction of significant interest rate hikes in 2025 have been somewhat muted.

"With this move, we reduced our interest rate by a full percentage point from its highest level, and our monetary policy is now significantly less restrictive," the Fed chairman said. "We can therefore be more cautious in considering further adjustments to our interest rates."

As a result, the Fed "On best path to further lower interest rates". Powell, however, said they needed to see more progress in inflation before making further interest rate cuts. The market interpreted this statement as slightly restrictive.

How many interest rate cuts are expected in 2025 is left open by monetary authorities. The majority of the economists surveyed by Bloomberg expects three interest rate cuts in 2025.

Powell said this depends on inflation trends. And that is currently complicated. Inflation remains above the 2 percent target. In fact, the projected median for the end of 2025 is currently at 2.5 percent.

Decision makers at the Fed now assume a neutral interest rate of about 2.9 to 3 percent, Bloomberg reports. In addition to Bitcoin, equity markets are also making losses. The S&P 500 is down 2.95 percent and the Nasdaq 100 is down 3.6 percent.