Bitcoin price tests $27K support as Fed holds interest rates at FOMC

Bitcoin (BTC) saw snap volatility on Sep. 20 as the United States Federal Reserve kept interest rates at twenty-year highs.BTC rate digests Fed rate pauseData from Cointelegraph Markets Pro and TradingView followed BTC price action as it reacted to the rate choice and accompanying commentary from Fed Chair Jerome Powell.The Federal Open Market Committee (FOMC) opted to keep rates at their previous levels set in July this year. Fed PAUSES rate hikes leaving rates unchanged2. 12 Fed officials see 1 more rate hike3. 7 Fed officials see no more rate hikes4.

Responding, Michaël van de Poppe, founder and CEO of trading firm Eight, suggested that no more rate hikes would come in future.”No rate hike from the FED.”If the economy evolves as projected, the average participants jobs that the suitable level of the federal funds rate will be 5.6% at the end of this year, 5.1% at the end of 2024 and 3.9% at the end of 2025,” he said.Powell noted that the medium projection for the end of the year was the same from in the past, however had moved up 0.5% for the end of the next 2 years.BTC/ USD continued to hold above $27,000 as an outcome, with no major exit of the recent intraday trading range.This post does not consist of financial investment advice or recommendations.

Bitcoin (BTC) saw breeze volatility on Sep. 20 as the United States Federal Reserve maintained interest rates at twenty-year highs.BTC price digests Fed rate pauseData from Cointelegraph Markets Pro and TradingView followed BTC cost action as it reacted to the rate decision and accompanying commentary from Fed Chair Jerome Powell.The Federal Open Market Committee (FOMC) chose to keep rates at their previous levels embeded in July this year.” The Committee seeks to achieve optimum work and inflation at the rate of 2 percent over the longer run,” a press release specified.” In assistance of these objectives, the Committee chose to maintain the target variety for the federal funds rate at 5-1/4 to 5-1/2 percent.” Fed funds rate chart. Source: St. Louis FedThe relocation was extremely expected ahead of time by markets, with a 99% possibility of a rate hike pause already in place, per data from CME Groups FedWatch Tool.The Feds language stayed mindful over the future of inflation, however, without any guarantee that conditions would end up being more lax.” In examining the proper position of monetary policy, the Committee will continue to keep an eye on the implications of inbound details for the economic outlook. The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could restrain the attainment of the Committees objectives,” the release continued.SUMMARY OF FED DECISION (9/20/23):1. Fed PAUSES rate walkings leaving rates unchanged2. 12 Fed officials see 1 more rate hike3. 7 Fed officials see no more rate hikes4. Fed sees rates higher for longer5. Fed sees inflation at 2.6% in 2024Is the Fed time out finally here?– The Kobeissi Letter (@KobeissiLetter) September 20, 2023