Bitcoin Price Tumbles as Fed Raises Rates for First Time Since 2023
The Federal Reserve raised interest rates for the first time since 2023, and Bitcoin's price wobbled in response. The leading cryptocurrency was recently priced at nearly $75,813 after dropping as low as $75,355 in the hour following the decision.
Over a seven-day period, the coin is down nearly 4%. Traders had bet there was a more than 90% chance that the Fed would raise interest rates ahead of its September meeting, and major Bitcoin trades likely happened before Wednesday's announcement.
Federal Reserve Chair Kevin Warsh emphasized that price stability in the U.S. is his top priority, stating that inflation is 'too high' and has been for 'too long.' He added that the decision to raise interest rates was a 'sober decision, serious decision, responsible decision.'