The Federal Reserve, chaired by Kevin Warsh, conducted its first FOMC meeting last week and left the policy interest rate steady at 3.50‑3.75 %.
Fed Decision and Inflation Outlook
The committee voted unanimously to keep rates unchanged, matching market expectations. Heightened inflation worries linked to the US‑Iran conflict have pushed the probability of a rate cut close to zero while raising the chance of a future hike.
Investors now anticipate that the Fed will maintain a stable rate trajectory for the remainder of the year. This stance influences the broader financial market, including equities, commodities, and crypto assets.
Grayscale’s Bitcoin Forecast
Grayscale research director Zach Pandl argues that Bitcoin’s price could climb if the Fed postpones any rate increase. He notes that the cryptocurrency is essentially awaiting a confirmation that interest rates will stay flat before it can rally.
Since the Iran conflict erupted in late February, US stock indices have risen roughly 9 %, while Bitcoin has slipped about 1 % and gold has fallen near