Shares of crypto-related stocks, including Coinbase Global Inc COIN and Riot Blockchain Inc RIOT, are trading lower Thursday afternoon amid ongoing weakness in Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH).
Bitcoin is trading 4.35% lower Thursday afternoon at around $21,200.
Ethereum is trading 7.10% lower Thursday afternoon at around $1,120.
Companies in the broader Bitcoin mining and financial services sector are also experiencing marked weakness after the Federal Reserve Wednesday afternoon raised its target fed funds rate by 75 basis points to a new range of between 1.5% and 1.75%, its largest interest rate hike in 28 years.
Cryptocurrencies have been seen by some investors as a speculative hedge against inflation and the Fed’s plans to curb inflation could weigh on the broader cryptocurrency sector.
Coinbase is the leading cryptocurrency exchange platform in the United States.
Coinbase is trading lower by 5.68% at $51.88 per share.
Riot Blockchain is focused on building, supporting and operating blockchain technologies.
Riot Blockchain is trading lower by 6.89% at $4.52 per share.