Crypto News: The US Fed’s Federal Open Market Committee (FOMC) delivered a 25 bps hike, taking the current target rate from 450-475 bps to 475-500 bps. The central banks said indicators point to modest growth in spending and production. More importantly, the Fed said the U.S. banking system is sound and resilient.
The crypto market reacted in slightly bearish way in reaction to the FOMC decision, with Bitcoin price down by around 0.50%. The markets earlier feared that further hike in interest rates could make it even worse for banks although the macroeconomic scene demanded further tightening. US Federal Reserve Chair Jerome Powell is set to make the central bank’s plans clear in his press conference speech, after which the crypto prices could show a sustained momentum in price movement.
Also Read: XRP Lawyer Warns Of More Anti-Bitcoin Talk Amid Xi Putin Meet
The US Federal Reserve‘s interest rate decision came amid much anticipation amid the ongoing bank crisis. The market largely anticipated an 85% probability of a 25 bps increase and a 15% probability of rates remaining unchanged. In the previous Fed meetings, Powell maintained in his speech that “ongoing increases in the target range will be appropriate.” He also maintained that the central bank was firm on its view to bring inflation back to the 2% target. Hence, Powell speech was expected highlight the central bank’s views on preventing further downside to the banking crisis.
Earlier, the US stock markets opened flat as traders awaited the interest rate decision. Whereas Bitcoin price reached its highest level of $28,700 since June 2022.
Also Read: Ripple President Confident Over Beating SEC In Court; XRP Price Set For Massive Rally?
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.