Fed Meeting Could Shape Crypto Market’s Future
Tomorrow, the Federal Reserve’s Federal Open Market Committee will meet, and the crypto market is on edge. investors are waiting for clues that could affect digital asset prices.
Analysts think the Fed will keep its benchmark interest rate between 4.25% and 4.5%. This is due to worries about inflation and economic stability. Bitcoin is trading around $95,000, and Ethereum is near $1,787.
The crypto market is sensitive to the Fed’s decisions. Investors are watching fed chair Jerome Powell’s statements closely. A dovish tone could boost the crypto market, pushing bitcoin past $100,000. However, a hawkish stance could lower crypto prices, with Bitcoin possibly falling to $89,000.
Despite strong job growth and rising prices, the Fed is unlikely to change rates. President Trump wants rate cuts, but the Fed is self-reliant. New tariffs could also fuel inflation.
Economists warn that trade tensions may drive up prices, especially for lower-income Americans. If the Fed cuts rates in July, as expected, consumers could see relief thru lower interest rates on loans and credit.
