It was an anticipated development that the Federal Open Market Committee (FOMC) decided not to change interest rates for the third consecutive time at the meeting held on Tuesday. The price of Bitcoin (BTC) saw a 4.5% increase and was trading at around $42,800 at the time of writing.
The crypto market experienced notable fluctuations following the decision. The altcoin market also accompanied these price movements!
At the beginning of the week, Bitcoin faced some selling pressure and fell to around $4,000 levels, after which altcoins experienced a similar decline. However, market sentiment improved after the Fed’s positive decision, and the rise in altcoins continued.
The unexpected rapid decline earlier in the year led to revisions in the projections put forward by officials after the fight against inflation.
According to the consensus reached by the majority of officials, as part of the effort to bring inflation to the 2% target, three interest rate cuts are foreseen for 2024. Federal Reserve Board member Christopher Waller did not hesitate to comment on the possibility of starting interest rate cuts in the spring, conditional on the continuation of positive inflation performance.