bitcoin ·
Bitcoin rebounds above $81,000, Pepe jumps 9% amid Asian chip rally
Bitcoin surpassed $81,400, driven by a rally in Asian semiconductor stocks, while the memecoin pepe increased by 9%.
This movement occurred as South Korea's Kospi index climbed 6.6%, and Nasdaq-100 futures gained 0.5%. SK Hynix saw its stock rise approximately 11% subsequent to announcing a sevenfold profit increase.
Furthermore, U.S. spot bitcoin ETFs absorbed $176 million on Tuesday, marking a second consecutive day of capital inflows, according to Farside Investors.
The altcoin sector also demonstrated resilience; ether gained 0.9%, and the CoinDesk Memecoin Index advanced by 1.3%.
The advancement of pepe, which jumped 9.4% to lead the CoinDesk 100 Index on Wednesday, was noted after Arkham Intelligence reported that wallets associated with Tron founder Justin Sun hold around $51 million of the token, establishing him as the largest non-exchange holder.
Despite the AI stock rebound, tokens linked to AI experienced a downturn on its second day, with venice VVV falling 8.2%, grass GRASS dropping 3.3%, and kite KITE losing 2.4%.
DeFi tokens also lagged behind, with CoinDesk’s DeFi Index (DFX) rising only 0.6%, which was the smallest gain among the CoinDesk Indices, contrasting with the CoinDesk 80's 0.9% increase.
These market shifts occur as market participants await the Federal Reserve's interest rate decision at 18:00 UTC, with CME’s FedWatch tool indicating roughly a 92% probability of no change, and traders focusing on Chair Kevin Wash’s forthcoming press conference for guidance.
The broader trend suggests that while institutional capital continues to flow into spot ETFs, specific sector performance remains varied, with momentum shifting between traditional tech drivers and speculative digital assets.
Why it matters
Market movements are currently being influenced by global tech sentiment, as seen in the Asian chip rally spilling into crypto assets. Investors are keenly watching the Federal Reserve's upcoming interest rate decision for guidance on future monetary policy and its impact on digital assets.
