3 hours ago
Bitcoin faced this week's second major Washington catalyst on Sep. 16, with the Federal Reserve hiking the interest rates after the Senate failed to advance the CLARITY Act a day earlier.
The Federal Open Market Committee voted 12-0 to raise the federal funds target range by 25 basis points to 3.75%-4.00%, its first increase since 2023. The Fed said inflation "remains elevated" and that the move would support a timelier return to its 2% target.
The unanimous hike puts the central bank directly at odds with President Donald Trump, who has called for lower borrowing costs and said earlier this month that the U.S. "should be paying the lowest interest rate in the world."
The CLARITY Act, which would establish a federal market structure for digital **** ets and clarify oversight between the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC), failed to advance Tuesday in a 49-50 Senate cloture vote. It needed 60 votes to proceed.
The Fed decision matters for Bitcoin because higher interest rates increase yields on lower-risk **** ets and tighten financial conditions, typically creating a tougher environment for speculative **** ets.
#federal #clarity #commission #failed
The Federal Open Market Committee voted 12-0 to raise the federal funds target range by 25 basis points to 3.75%-4.00%, its first increase since 2023. The Fed said inflation "remains elevated" and that the move would support a timelier return to its 2% target.
The unanimous hike puts the central bank directly at odds with President Donald Trump, who has called for lower borrowing costs and said earlier this month that the U.S. "should be paying the lowest interest rate in the world."
The CLARITY Act, which would establish a federal market structure for digital **** ets and clarify oversight between the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC), failed to advance Tuesday in a 49-50 Senate cloture vote. It needed 60 votes to proceed.
The Fed decision matters for Bitcoin because higher interest rates increase yields on lower-risk **** ets and tighten financial conditions, typically creating a tougher environment for speculative **** ets.
#federal #clarity #commission #failed
