Grayscale: Interest Rate Hikes Won't Hurt Bitcoin's Growth
The Federal Reserve's interest rate hike has sent shockwaves through financial markets, but Grayscale's crypto research team believes it won't significantly impact the price of Bitcoin. According to Zach Pandl, head of research at Grayscale, the recent move was a 'mid-cycle adjustment' and not a cyclical change.
Grayscale expects one or two modest hikes in 2026, but these are unlikely to affect capital allocation or hurt crypto market adoption. The team points out that supportive U.S. Treasury liquidity-support buyback measures will continue to drive growth.
In the past, Bitcoin has performed well in low-interest-rate environments, and investors may be taking advantage of increased liquidity. However, Pandl notes that higher interest rates can make holding non-interest-bearing assets less appealing, which may have weighed on Bitcoin's price in 2022.
Despite this, Grayscale remains bullish on Bitcoin, with its price currently standing at around $76,581 and up 18% over the past 30 days.