Bitcoin Surges on Dovish Fed Update and Pro-Crypto Legislation

The price of Bitcoin (BTC) has surged by 1.7% to $77,960 today, driven by a combination of factors.

A less-hawkish-than-feared Federal Reserve policy update saw the central bank raise the federal funds rate by 25 basis points to a range of 3.75%-4.00%, but the accompanying dot plot projection suggested further tightening would be limited.

This dovish undertone weighed on the U.S. dollar, which historically benefits Bitcoin as an alternative store of value.

The Federal Open Market Committee's unanimous decision was seen as a relief for risk assets broadly.