In short
- The interest rates have remained between 4.25% and 4.50% in December since the last rate.
- The Federal Reserve has remained careful in the midst of disturbing inflation signs.
- Bitcoin has largely traded under $ 120,000 since he reached a record high near $ 123,000 earlier this year.
Bitcoin traded somewhat demolished after the US Central Bank had left the federal fund rate intact, because analysts had generally expected to be in the midst of uncertain inflation values and the cautious rhetoric of the FED in recent months.
BTC was recently traded at $ 117,777, at 0.1% in the last hour, according to Crypto Markets Data Provider Coingecko. The largest cryptocurrency due to market capitalization has fallen by around 4% since he reached a record high near $ 123,000 two weeks ago.
Ethereum, the second largest digital active per market value, changed hand to 3,809, an increase of 0.4% since Tuesday, the same time. ETH has been better performed in the last three months than BTC and other large cryptos.
The interest rate remained in a range between 4.25% and 4.50%, but two administrative governors were not even out of the decision, which reduced the rate by a quarter point.
Both the Federal Reserve Gouverneur Christopher Waller and newly appointed Michelle Bowman, who is now vice -chairman for supervision, recently indicated that they supported the rate.
Most major cryptos have had a holding pattern because investors weighed the impact of the global trade war of the US President Donald Trump, the inflatoids and wider macro -economic uncertainties worry. The June Consumer Price Index, released earlier this month, picked up 0.3% of the previous month to 2.7% per year. Those figures were highest since the report of February and far above the long -term goal of 2% of the Federal Reserve.
The report and the various other price and labor data suggested that inflation remained stubborn and that Trump’s rates started to have an influence. Earlier this year, markets had been optimistic about the prospect of multiple tariff reductions this year, which would win crypto prices by freeing capital for investments.
But FED chairman Jerome Powell has remained rigid about the base of policy decisions on data. The CME Fedwatch tool, a widespread measure for rate feeling, calculated a chance of almost 97% that the central bank would keep the rates unchanged and a better than 50% chance of a reduction in only one of the following three meetings in 2025.
Powell’s attitude has arranged Trump who has ruthlessly hammered Powell, insulted his intelligence and masters about the dismissal of him. Last week he was only the fourth president who visited the Federal Reserve in what seemed to be the last attempt in his printing campaign. “Well, I would love it if he lower the interest rates,” he said, responding to the question of a reporter at some point.
In a text to Decrypt, Joe Dipasquale, the CEO of Crypto Asset Asset Manager Bitbull Capital, said that the market had already priced largely in a hold of the Fed this month, “and that investors would look more at Powell’s comments in his press conference after the announcement and all changes in the expectations of the Bank’s expectations.
“The real focus will be on the tone of Powell and all shifts in the Puntplot,” said Dipasquale. “If he signals the confidence that inflation is relaxing, risk assets – including crypto – can collect. But if the messages are more Hawkish or contains fewer cuts, we can see a withdrawal. Anyway, the reaction of crypto is likely to follow a wider macro -sentiment in the immediate Aftermath.”
He added: “Inflation trends, continuous trade tensions such as rates and geopolitical risks in Ukraine and Gaza all contribute to a cautious background, but they are more a secondary influence unless something escalates.”
UPDATE (July 30, 2025, 2:22 pm et): Adds information about different opinion.
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