The Fed's interest rate hike impacts the crypto market by reducing global dollar liquidity, which is generally bearish for crypto. Bitcoin and Ethereum will face pressure, while altcoins and memecoins will suffer even more. Bitcoin, as a non-yielding risk asset, becomes less attractive when U.S. Treasury yields rise, prompting capital to flow toward risk-free returns. Higher borrowing costs lead to leveraged positions being unwound, increasing the risk of cascading liquidations during downturns and amplifying price declines. A stronger dollar also raises the cost of buying crypto globally. However, markets trade on expectations, not just outcomes. If the news is already priced in, the actual announcement may trigger a relief rally; if the hike is more hawkish than expected, it could trigger an immediate sell-off. Interest rates are just one piece of the macro picture. ETF approvals, regulatory developments, or black swan events can easily overshadow them. Don’t base your decisions solely on rate hikes—manage your position size and avoid high leverage.