Fed Cuts Rates, Paves Way for Additional Easing
The federal Reserve made a move many predicted on Wednesday, September 17, reducing interest rates by 25 basis points for the first time in 2025. The new range sits at 4.00%-4.25%, down from 4.25%-4.50%.
While the cut was expected, the Fed left room for more reductions. Chairman Jerome Powell,however,remained vague about the path ahead. The Fed chose to stay flexible, though Powell pointed out growing concerns over jobs and economic growth.
A dissenting voice in the FOMC pushed for a larger 50-basis-point cut, reported by Bloomberg. It might have been Stephen Miran, a Trump appointee. But don’t expect clear signals anytime soon.
What Does This Mean for Crypto?
Interest rates influence how much you earn or pay on loans. Lower rates can mean better times for Bitcoin and altcoins.
With less interest from banks, investors look to riskier but possibly more rewarding assets like cryptocurrencies.Despite the move being expected,a softer stance on inflation might still lift Bitcoin and altcoin values.
so, this Fed action won’t drastically change prices right away. Yet, it hints at potential growth for cryptocurrencies in the coming months.
- The Fed cut interest rates by 25 basis points.
- Powell kept future moves vague to maintain flexibility.
- Lower rates could boost Bitcoin and altcoin prices.
