Bitcoin recovery stalls after Fed holds interest rates, citing ‘uncertainty’ in Middle East

Bitcoin dropped under $75,000 after FOMC minutes showed the US Federal Reserve holding interest rates and expressing slight concerns over inflation and the war in Iran.

Bitcoin (BTC) extended its two-day decline on Wednesday after the Federal Open Market Committee (FOMC) minutes confirmed the Fed’s decision to hold “the target range for the federal funds rate at 3-½ to 3-¾ percent.” 

While the Fed maintains its goal of achieving “maximum employment and inflation at the rate of 2 percent over the longer run,” the FOMC minutes cited the “developments in the Middle East” as factors fueling an environment of “uncertainty” and the Fed stressed its desire to maintain optionality as it evaluates the “risks to both sides of its dual mandate.” 

FOMC minutes with new statements in red. Source: CNBC

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