The US Federal Reserve decided to maintain its benchmark interest rate at 5.25% to 5.50%. How will this impact Bitcoin and cryptocurrency prices? Bitfinex analysis provides insight.

If the Fed chooses to maintain current interest rates, Bitcoin could experience short-term fluctuations. However, overall, the trend may remain positive, especially if economic conditions continue to improve.

Historical data shows that in three of the last four Consumer Price Index (CPI) releases, Bitcoin hit local tops. This shows the potential volatility surrounding such an update.

Bitfinex analysis also added that the world's largest digital asset may stabilize near current levels or see a modest increase, driven by investor optimism about an expected interest rate cut later in the year.

The decision to hold interest rates could bring stability to ETF flows, according to crypto exchanges. Meanwhile, the introduction of a spot Ether ETF could still attract significant interest, potentially paving the way for diversified investments among Bitcoin and Ethereum ETFs.

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