Federal Reserve Disregards Trump's Appeals for Rate Cuts: Potential Impact on Bitcoin's Value

Ignoring repeated requests from US President Donald Trump, the Federal Reserve has decided not to reduce the key interest rates. The decision, which was largely anticipated, followed a strong second quarter GDP report from the US, suggesting a significant economic recovery after the first quarter correction. Despite Trump's numerous calls, including a recent request for the largest rate cut in history, the Federal Reserve officials voted 9-2 to maintain the current rates.

Following the decision, Trump indicated that he believes the central bank will lower the rates in their next meeting in September. The value of Bitcoin, which often responds to the Federal Reserve's actions, had stabilized around $118,000 prior to the decision. Despite some volatility surrounding the announcement, it has returned to a similar level.