The buzz in the air was palpable as financial gurus placed their bets on this one. The stage was set after the US presidential elections for the Federal Reserve's big reveal. And guess what? They snipped those interest rates by 25 basis points, just as the market wizards had predicted.
Our beloved Bitcoin, which often has ears perked up for US news, was already flirting with the skies, hovering just below a jaw-dropping $77,000. But like a seasoned poker player, it kept its cool and didn’t flinch.
The US has had a whirlwind week, not only picking a fresh face to lead the country but also setting a new course for the next four years. Just two days after the election, the Fed’s first post-election FOMC meeting rolled out. Back in September, they slashed rates by 0.5%, and this time around, a trim of 25 basis points was on the cards. Fed Chair Jerome Powell took the mic to confirm it, pulling rates down to the 4.5%-4.75% range.
The Fed's logic? With inflation on the decline, they're on a mission to bring it down to a neat 2% in the coming months. With everyone bracing for this move, the markets seemed to have already penciled it in, leaving Bitcoin relatively unfazed.
Just moments ago, Bitcoin reached a new high at $76,800, only to ease back to around $76,100. It had a rollercoaster ride earlier in the week, skyrocketing when Donald Trump seemed poised for a White House encore. Over the past seven days, Bitcoin's been on a bender, up 8% and a whopping 22% over the last month. With its market cap soaring past $1.5 trillion, it's strutting its stuff as the 9th heavyweight in the global financial arena.
