Crypto Market Reacts Positively as Fed Raises Interest Rate by 25 BPS

  • The News Crypto
  • Cryptocurrency News
Crypto Market Reacts Positively as Fed Raises Interest Rate by 25 BPS
Credit: © Reuters.

  • The Fed implemented its smallest interest rate rise since March 2022.
  • The crypto market responded positively with Bitcoin price even breaching $24k mark.

In its most recent meeting, the Federal Reserve Board decided to increase interest rates by another quarter of a percentage point. At this meeting, the Fed implemented its smallest interest rate rise since March 2022, signaling a moderation in the pace of its rapid tightening throughout 2022.

As the Fed continues to be vigilant about inflation, it was widely anticipated that Chairman Jerome Powell will delay raises at the meeting. The fact that this rise is less than previous ones is a welcome improvement.

The Federal Reserve has increased interest rates by another quarter of a percentage point, after a half-point increase in December. The decision is the Fed’s weakest rise in a year, signaling a slowdown in their fight against inflation.

Markets Turn Green

The Federal Reserve raised interest rates today for the ninth time since March. A surprising impact on the Federal Reserve’s efforts to control inflation may be triggered if the market response sparked a too-rapid increase.

Stocks increased on Tuesday as the Federal Reserve began its two-day meeting. Rates have been declining since the beginning of 2023, although the technology industry as a whole saw a 9% monthly increase. Furthermore, CNBC said that the 10-year Treasury yield is now at 3.5 percent, down from 3.9 percent at the year’s conclusion.

The crypto market responded positively with Bitcoin price even breaching the $24k mark with the rest of the altcoins trading in green. Bitcoin at the time of writing is trading at $23,823 and is up 4% in the last 24 hours as per CMC (NS: CMC ).

Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

Error: File type not supported

Drop an image here or

100

Related Articles