FED President Gave Interest Rate Signal, Bitcoin Got Movement: The Market Is Flaming!

US Federal Reserve Chairman Jerome Powell made statements that could stimulate the cryptocurrency market.

According to the news reported by the Wall Street Journal, FED President Jerome Powell stated that the central bank is focusing on interest rate cuts as inflation has decreased again and the labor market has shown signs of cooling.

However, he noted that more data would help finalize his views on inflation.

Powell said on Tuesday, July 9, that newer inflation readings show “modest progress and that better data will strengthen our confidence that inflation is sustainably moving toward 2%.”

Powell said the economy has made “substantial progress” toward lowering inflation and the labor market looks much like it did before the pandemic. But he hasn't given many clues to shape expectations about when the central bank might cut interest rates.

He simply said, "We continue to make our decisions on a meeting basis."

Interest rate cut expectations are changing

Economic projections released last month showed most Fed officials expect to cut rates once or twice this year if inflation slows and growth is solid but unimpressive.

Their next meeting will be held on July 30-31. Markets appear to be focused on whether officials will give stronger hints that they could cut interest rates at their next meeting in September.

Bitcoin has moved

Taking action in parallel with Powell's statements, Bitcoin increased by approximately $ 1,500 and reached $ 58,102. In this way, Bitcoin rose above 58 thousand dollars for the first time today.

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