At the current level, the crypto has gained about 3% for the week.Read MoreFeedzy
One day after the U.S. Federal Reserve boosted its benchmark interest rate for the first time in more than three years, bitcoin (BTC) is having a quiet session, currently trading at $40,800.
Traditional markets and cryptocurrencies both sold off in the immediate aftermath of Wednesday’s rate hike announcement by the U.S. central bank, but recovered those losses and more by the end of the day.
Speaking at the post-meeting press conference, Fed Chair Jerome Powell said the U.S. economy is strong enough to withstand a number of rate hikes this year, and doesn’t see a recession on the horizon.
“I think that the result of this FOMC meeting is bullish for the market in the short-term, as the market gained clarity on the Fed raising rates and there were no big surprises,” said Marcus Sotiriou, analyst at U.K.-based GlobalBlock. The Federal Open Market Committee (FOMC) is the Fed’s monetary policymaking body.
Motiriou, however, does worry that rate hikes initially may not do a lot to cool inflation, setting up markets for more pain if the Fed feels the need to get more aggressive in its money tightening policy.
Checking other popular cryptocurrencies, ether (ETH) and solana (SOL) are both outperforming bitcoin by a bit today, each up about 2%.
DISCLOSURE
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
Yes, you read the title correctly, and it does appears contradictory. As bitcoin (BTC) nears…
Bitcoin (BTC) pared last week’s gains with a price drop from $98,500 to as low…
Howard Lutnick, chairman of Wall Street trading firm Cantor Fitzgerald, is in discussions with Tether's…
MicroStrategy's (MSTR) bitcoin (BTC) treasury model is unparalleled and the company is expected to attract…
The crypto market should see a pick up in volatility at the end of this…
Bitcoin Development Company MicroStrategy (MSTR) added 55,500 of the largest cryptocurrency for $5.4 billion, bringing…