Bitcoin & Ethereum Recover After FED Chair Hints At Easing Rate Hikes
A number of cryptocurrencies have been seeing their prices soar momentarily after the FED chair may have hinted at a recovery in the macroeconomy.
Jerome Powell’s Statement
On Wednesday, November 30th the U.S. Federal Reserve Chair Jerome Powell hinted at the possibility that the FEDs may be lifting interest rates by half a percentage point in December.
Despite this being another lift in interest rates, this increase is notably smaller than the last four increases imposed in the past, meaning that the FEDs are showing signs of easing on the rate hike for the first time in months.
Federal Reserve Chairman Jerome Powell confirmed Wednesday that smaller interest rate increases are likely ahead even as he sees progress in the fight against inflation as largely inadequate. https://t.co/9PEzuo3btO pic.twitter.com/cl2vdG1kDV
— CNBC (@CNBC) November 30, 2022
Crypto Prices Recover
At this news, the crypto market saw some bullish movement as investors celebrated. Just an hour after Powell’s speech, Bitcoin saw its price rise by more than 2%. The worlds biggest cryptocurrency also saw its price rise by up to 4% 24 hours since then, with Bitcoin now trading at a price of $17,100 at the time of writing, a big jump from its previous price of $16,700 less than a day ago.
The world’s second biggest cryptocurrency, Ethereum, also saw a spike in its price, with the crypto jumping by 6% in the past 24 hours. Ethereum is now trading at a price of $1,280 at the time of writing.
Other altcoins like Polygon, Dogecoin, XRP and Cardano also saw their prices rise since Powell’s speech, gaining by 11.4%, 1%, 1.5%, and 0.85% respectively according to CoinMarketCap.