The Federal Reserve System (FED) of the United States continues to hold interest rates steady, despite growing pressure from investors and politicians to lower them.
Current Situation with FED Interest Rates
The FED began its interest rate cutting cycle with a 50 basis point cut in September 2024 and has kept rates unchanged since January 2025. FED Chairman Jerome Powell has noted that the main goal is to achieve a permanent reduction in inflation and reach the 2% target.
Trump's Call for Rate Cuts
U.S. President Donald Trump is also urging the FED to cut interest rates. In his statements, he emphasizes the necessity of cuts to support the American economy.
Implications for the Cryptocurrency Market
The FED's rate cuts could positively impact Bitcoin and altcoins, as lower rates make borrowing cheaper, potentially increasing liquidity in the financial system. This liquidity could attract investors to riskier assets like cryptocurrencies. Furthermore, a weaker dollar may enhance Bitcoin's appeal to investors.
Thus, while the FED currently maintains its rates, political pressure and economic factors may influence future changes, which could significantly affect the cryptocurrency market.
