Bitcoin Trades Neutral As Fed Chair Powell Speaks

Bitcoin soared to $39,000 shortly after the Federal Open Market Committee announced that interest rates would not change, but Federal Reserve Chairman Jerome Powell spoke about the future of US finance. The policy was to immediately return to trading in the neutral territory as it was launched at the press conference.

Powell emphasized that the Commission’s focus is on maintaining a strong labor market and reducing inflationary pressures. These are the two main drivers of the FOMC monetary policy. Inflation has been rampant over the past year with prices far above the Commission’s long-term average of 2% due to imbalances in supply and demand and increased liquidity in the market.

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