# Fed's Hawkish Signal Triggers Crypto Market Shake-Up, $100 Billion in Market Cap Evaporates

On March 19th, the Federal Reserve concluded its March policy meeting, maintaining interest rates unchanged at 3.5%-3.75%. Fed Chair Powell delivered hawkish signals during the press conference, hinting that there may be only one rate cut opportunity this year.

This statement immediately triggered a sharp market reaction. Crypto market total capitalization (TOTAL) evaporated nearly $100 billion in less than 24 hours around the meeting, declining from a six-week high just below $2.57 trillion to approximately $2.4 trillion at present.

According to Coinglass data, approximately 143,400 traders were liquidated over the past 24 hours, with total liquidations reaching $479 million, of which roughly 85% were Bitcoin leveraged long positions. This significant pullback has pushed BTC back to the middle of a six-week consolidation range, erasing most recent gains.

Powell emphasized that even absent the impact of Middle East conflicts pushing up oil prices, the Fed maintains heightened vigilance against stubborn inflation, explicitly stating that rate cuts depend on economic data performance—if no improvement is observed, no cuts will occur.

This hawkish stance clearly contradicts Trump's criticism of "too-slow rate cuts." Ironically, Trump's heavily promoted tariff policies and oil price increases stemming from Iran-related conflicts are precisely the real obstacles driving inflation and hindering rate cuts.

Swissblock analysis notes that while FOMC meetings serve as catalysts for volatility, their impact typically depends on market conditions. High-risk environments usually trigger sell-offs or accelerate declines; conversely, low-risk environments tend to form local bottoms or sustain trends.

The current market is in a "transitioning toward lower risk but not yet fully confirmed" delicate stage. Although the FOMC meeting will still trigger short-term volatility, BTC's direction will depend on its intrinsic strength, capital flows, and momentum, rather than being purely driven by macro events.

However, according to Santiment analysis, despite the Fed not cutting rates this time, related bearish news was already digested yesterday, so traders still expect a potential rally.

In summary, the Fed's hawkish stance has dampened market sentiment, resulting in nearly $100 billion in crypto market cap evaporation, with roughly 85% of long positions facing liquidation.

Yet Santiment believes "the bad news is exhausted" and a rebound is possible. What's your view? Is this merely a temporary pullback or a continuation of the decline? Share your thoughts in the comments!