Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesBotsEarnCopy
FOMC: The Fed Maintains Its Rates For The 3rd Consecutive Time

FOMC: The Fed Maintains Its Rates For The 3rd Consecutive Time

CointribuneCointribune2025/05/08 04:55
By:Cointribune

As anticipated by the majority of analysts, the United States Federal Reserve (Fed) has just kept its key interest rates in the range of 4.25-4.50% following today’s meeting. This decision comes in a context of increasing economic uncertainty and persistent political pressures.

FOMC: The Fed Maintains Its Rates For The 3rd Consecutive Time image 0 FOMC: The Fed Maintains Its Rates For The 3rd Consecutive Time image 1

En bref

Between caution and political pressure

Tonight at 8 PM French time, financial markets and the crypto community were on high alert for the eagerly awaited announcement from the United States Federal Reserve . Unsurprisingly, and in accordance with the forecasts of many economic analysts, the Fed kept its key rates unchanged in the 4.25% to 4.5% range.

In its official statement , the institution says that “economic activity continued to grow at a sustained pace” despite some fluctuations in net exports. It also notes that “labor market conditions remain solid” with the unemployment rate stabilized at a low level over recent months.

However, the U.S. central bank acknowledges that “inflation remains somewhat elevated”, thus justifying the maintenance of a restrictive monetary policy.

The FOMC declares itself “firmly committed to supporting full employment and bringing inflation back to its 2% target”, while indicating that “uncertainty surrounding economic prospects has further increased”.

This decision comes despite political pressures exerted by Donald Trump, who recently called Powell a “loser” and demands an immediate rate cut to support his economic and commercial initiatives.

The committee will also continue reducing its balance sheet by “decreasing its holdings of Treasury securities, debt securities, and agency mortgage-backed securities”.

Bitcoin awaiting a strong signal

Contrary to expectations of volatile reactions linked to Fed announcements, bitcoin shows a 2% increase to reach 96,700 dollars, continuing its upward trend regardless of the rate decision. This resilience suggests that other fundamental factors are currently supporting the crypto market.

The technical indicators for bitcoin remain positive, with confirmed bullish trends across all time frames.

This increase continues the impressive 10% rebound recorded the previous week, strengthening investors’ confidence in the digital asset.

The Fed’s maintenance of a restrictive monetary policy has therefore not undermined the optimism of the crypto markets, which now appear less sensitive to monetary policy decisions than to the dynamics specific to the ecosystem and to the growing institutional adoption of digital assets.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!

You may also like

Ethereum Classic ($ETC) Eyes a 510% Breakout Rally

Ethereum Classic could surge over 510% to $127.65 as a major breakout pattern emerges.Why the $127.65 Target MattersShould You Pay Attention?

Coinomedia2025/05/11 16:33
Ethereum Classic ($ETC) Eyes a 510% Breakout Rally