Bitcoin, Ethereum Trade Sideways as Fed Leaves Interest Rates Untouched

The Federal Reserve decided to maintain its key interest rate, impacting the cryptocurrency market as Bitcoin and Ethereum experienced declines. Fed Chairman Jerome Powell emphasized the ongoing struggle against inflation, suggesting that rate cuts are unlikely soon. Despite a daily downturn, Bitcoin and Ethereum saw slight hourly gains post-announcement.

Market reactions reflect concerns over prolonged high interest rates amid stubborn inflation, affecting Bitcoin and Ethereum prices. The Fed has maintained rates at 5.25% to 5.5% since July, with less optimism for rate cuts in 2024. Powell hinted that achieving a 2% inflation target might take longer than anticipated, influencing market sentiment and crypto valuations.