Fed Hike and Failed Crypto Bill Send Mixed Signals to Bitcoin Traders

The Federal Reserve raised interest rates by 25 basis points on September 16, marking its first rate increase since 2023. The decision was expected and had a limited immediate impact on Bitcoin's price. However, traders are closely watching the cryptocurrency's reaction to tighter monetary policy.

The US Senate failed to advance the CLARITY Act on September 15, with a 50-49 vote falling short of the necessary 60 votes. The bill aimed to create a federal market structure for digital assets and define regulatory roles for the SEC and CFTC. Despite this setback, other crypto measures are moving forward in Congress.

Bitcoin's price action has kept it near the USD 75,000 support area, while traders watch the USD 77,000 to USD 78,000 range as resistance. The cryptocurrency has shown a limited reaction to the Fed's decision and is being shaped by monetary policy, ETF flows, and crypto legislation.