After the Federal Reserve announced its rate hike on Wednesday, the dollar fell 0.72% while bitcoin gained 4.22%.

As expected, the Fed raised the interest rate by 75 basis points.

The Federal Open Market Committee told us that gains in the labor market have been strong recently.

She added that the unemployment rate is still low.

Impacted by the decision, cryptocurrencies responded positively with increases of 4.22% and 5.33% for Bitcoin and Ethereum, respectively.

This raises hopes in the crypto community about the possibility of a rally in cryptocurrency prices.

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US GDP figures to reveal more about the state of the economy:

On the other hand, the Q2 GDP numbers are the next big event scheduled for after hours.

Not only the cryptocurrency community, but the financial markets will be eagerly awaiting the US GDP figures.

The GDP numbers can provide a sobering check on the US economy, while also setting the tone for markets around the world.

The dollar index currently stands at $106, down -0.34% according to TradingView.

The decline in the US dollar may be a result of the interest rate, as the increase was less than the market expectations, in other words, the markets were expecting a higher rise.

Will a weak dollar lead to the rise of cryptocurrencies?

Prior to the FOMC decision, Bitcoin price was expected to rise above the $22,000 support level in the short term.

To achieve this level after the decision was announced and continue to rise to reach the level of $23,000, which it is still trading at ($23,200).

In the past any weakness of the US dollar was followed by a strong rally of Bitcoin and other altcoins, at the moment Bitcoin still has not shown its full direction yet.

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