Recent decision of the Federal Reserve to keep interest rates steady has sparked investors' interest in risk assets, particularly in Bitcoin and cryptocurrency-related funds. Markets perceived this delay as a moderate tilt, leading to a notable increase in flows into Bitcoin exchange-traded funds (ETFs), indicating a fresh optimistic sentiment regarding the cryptocurrency investment scene.

Patience of the Fed indices: Markets respond

The Federal Open Market Committee (FOMC) kept the benchmark interest rate in the range of 5.25%–5.50% during the most recent monetary policy meeting. Fed Chairman Jerome Powell noted the decrease in inflationary pressures and the need to assess the long-term impact of previous monetary rate increases, even though he did not specifically rule out other monetary increases. This 'wait and see' strategy clearly communicated to the markets: the monetary tightening cycle could be on the verge of fading.