BTC Brushes Off Fed Shock, Bounces Back

There were few, if any, surprises at Fed Chair Jerome Powell’s press conference on Wednesday, but bitcoin still plummeted roughly 1.7% to just under $116K soon after Powell confirmed that the central bank would hold rates steady. Nearly 24 hours later, the cryptocurrency has reclaimed $118K.

Powell has been facing increasing pressure from U.S. President Donald Trump to cut rates. Even two members of his inner circle are beginning to voice dissent over his insistence on maintaining the federal funds rate in the 4.25-4.50% range.


Fellow Federal Reserve Board members Michelle Bowman and Christopher Waller, both disagreed with Powell’s decision and recommended a quarter-point cut. It was the first time in 32 years that two or more board members diverged from the prevailing consensus.