Bitcoin Price Surge Following FOMC Meeting

Bitcoin (BTC) surpassed $85,000 following the Federal Open Market Committee (FOMC) meeting, where the Fed decided to keep interest rates steady at 4.25%-4.50%.

BTC’s rise rate in the last 24 hours was recorded as 4.39%.

The general financial markets also responded positively to the Fed’s decision, with the Nasdaq, S&P 500, and Dow Jones all gaining over 1%. Addressing inflation concerns, Fed Chairman Jerome Powell stated that tariff-related price increases were expected to be temporary, and that recession risks remained low.

Despite this initial market optimism, some analysts remain cautious. Economist Mohamed A. El-Erian noted that Powell’s use of the term “temporary” to describe inflationary effects was reminiscent of past policy missteps. He commented, “The word ‘temporary’ has returned to the Fed, with Chairman Powell characterizing the price effects of tariffs as a one-off. It is too early to say with any confidence that the inflationary effects will be temporary.”

Meanwhile, gold prices continued their upward trend, exceeding $3,050 after breaking the $3,000 barrier earlier in the week. Callie Cox, chief market strategist at Ritholtz Wealth Management, remarked that the Fed’s stance indicates a reluctance to ease monetary policy too quickly. “The Fed is no longer comfortable shifting to neutral as it gets closer to its inflation target. I think you could argue the soft landing is over,” Cox noted.

However, US President Donald Trump is set to make a statement at a crypto conference tomorrow, which could impact the BTC price.

This is not investment advice.