FOMC Raises Rates: Bitcoin Stays Put at $28,500

• The Federal Reserve raised the federal funds rate by 25bps.
• Bitcoin’s price has stayed relatively flat at $28,500.
• The Fed is expecting one more rate hike and dropping “ongoing rate hikes” from statements.

FOMC Verdict: Rates Raised by 25bps

The Federal Reserve raised the federal funds rate by 25 basis points, taking it to 4.75 – 5%. This was seen in the latest FOMC verdict.

Bitcoin Price Remains Flat

Upon announcement of the new fed funds rate, Bitcoin’s price remained relatively flat at $28,500.

Fed Dot Plot

The Fed sees 5.1% on the median dot plot for the end of 2023 and 4.3% for the end of 2024. This was revealed in their latest dot plot chart released after the FOMC verdict announcement.

Expectation of Another Rate Hike

The Fed also expects one more rate hike and is no longer making statements regarding ongoing hikes as they have dropped this language from their statements entirely. They do however state that “the US banking system is sound and resilient” which adds confidence to their decisions moving forward with this new stance on rates.

Powell Discusses New Economic Projections

All eyes are now on Jerome Powell who will be discussing newly released economic projections for 2023-2024 at 6:30 PM GMT following the FOMC verdict announcement today (Mar 22).