If you’re into crypto, you probably keep an eye on the Federal Reserve (even if you don’t love it). Well, the Fed’s latest meeting on January 29, 2025, just shook up the market.
Let’s break down what happened and what it means for crypto investors.
The Federal Open Market Committee (FOMC) decided to keep interest rates between 4.25% and 4.50% — no changes for now. The Fed is playing it safe, balancing inflation concerns with a stable job market.
Even though they cut rates a few times in 2024, they’re now saying, “Let’s wait and see.” Future adjustments will depend on economic data, adding uncertainty to financial markets — including crypto.
Before the meeting, Bitcoin hovered between $100,000 and $102,000, with investors holding back major moves. Once the decision was announced, Bitcoin dropped below $102,000, and many altcoins saw declines of up to 6%.
- Investors hoped for signs of upcoming rate cuts, which typically boost riskier assets like crypto.
- The Fed’s cautious stance led to…