Wednesday is poised to be a huge day for the markets. America’s central bank is expected to finally slash interest rates from their 23-year high after hiking them up in 2022, and the resulting impact could have wide implications across all major markets.

Under Chair Jerome Powell, the Federal Reserve raised borrowing costs in a bid to control inflation, which skyrocketed following the Covid-19 pandemic. Now, with a stronger job market, the plan is to lower interest rates—hopefully without triggering a recession in the process. 

Markets are expecting interest rates to drop Wednesday following the Federal Open Market Committee (FOMC) meeting, which begins today and concludes Wednesday. 

What does this have to do with crypto, though? And why is everyone talking about this meeting? 

Bitcoin and other cryptocurrencies have largely benefited from low interest rates because they are “risk-on” assets. Such investments—which also include U.S. equities like tech stocks—have more volatile price movements.

Go to Source to See Full Article
Author: Mathew Di Salvo

Did you like this?
Tip BTC Newswire with Cryptocurrency

• Bitcoin
• Bitcoin Cash
• Ethereum
• Litecoin
• Monero
• ZCash

Donate Bitcoin to BTC Newswire

Scan the QR code or copy the address below into your wallet to send some bitcoin:

Donate via Installed Wallet Copy

[X] Click Here to Hide Donation Details

Donate Bitcoin Cash to BTC Newswire

Scan the QR code or copy the address below into your wallet to send bitcoin:

Donate via Installed Wallet Copy

[X] Click Here to Hide Donation Details

Donate Ethereum to BTC Newswire

Scan the QR code or copy the address below into your wallet to send some Ether:

Donate via Installed Wallet Copy

[X] Click Here to Hide Donation Details

Donate Litecoin to BTC Newswire

Scan the QR code or copy the address below into your wallet to send some Litecoin:

Donate via Installed Wallet Copy

[X] Click Here to Hide Donation Details

Donate Monero to BTC Newswire

Scan the QR code or copy the address below into your wallet to send some Monero:

Donate via Installed Wallet Copy

[X] Click Here to Hide Donation Details

Donate ZCash to BTC Newswire

Scan the QR code or copy the address below into your wallet to send some ZCash:

Copy ZCash Address

[X] Click Here to Hide Donation Details