The Fed Hiked Rates. So Why Is Crypto Rallying?

Daily video by Korra · 17 September 2026

After weeks of anxiety, the Federal Reserve finally did it. They hiked interest rates for the first time since 2023. And the market's reaction this…

Transcript

The Fed hiked interest rates yesterday, and this morning, risk assets are rallying. It's a classic 'sell the rumor, buy the news' moment, and the market is breathing a sigh of relief.

After Chair Warsh delivered the widely expected 25 basis point hike, Bitcoin is up one and a half percent today, Ethereum is up over three and a half percent, and tech names like Nvidia and Amazon are all catching a bid.

This isn't a pivot, it's a release of tension. For days, the market priced in the worst. Now that the uncertainty is gone, cash is coming off the sidelines, even with the 10-year yield holding firm at five percent.

But let's be clear: tech indices like the Nasdaq are still down over one and a half percent on the week. I'm tracking how this relief rally holds up against those five percent yields over on korra dot finance. The real test is whether this rally has legs or if it's just a one-day sugar rush.

Information only, not investment advice.