Bitcoin Dips as Fed’s Powell Signals No ‘Hurry to Lower Rates’
Federal Reserve Chair Jerome Powell recently indicated that the Fed is in no rush to reduce interest rates, suggesting they may remain elevated for an extended period. This stance has added pressure on Bitcoin and the broader cryptocurrency market, as higher interest rates can make riskier assets like Bitcoin less attractive to investors. The signaling has led to a dip in Bitcoin's price, as markets responded to expectations of tighter financial conditions.Higher interest rates generally strengthen the dollar, making alternative assets like cryptocurrencies and equities less appealing. Bitcoin and other risk-sensitive assets are especially vulnerable to these macroeconomic shifts, as investors might prefer safer, yield-generating investments.
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