The Fed Asks Interest Parts, This Is A Response To Bitcoin Movement

The Fed plans to raise interest rates. (Photo; Doc. Crypto247)

JAKARTA - Notulen from the Federal Reserve policy meeting on Wednesday, February 22 provided more detailed information on discussions at the US central bank regarding a further increase in interest rates to suppress inflation and cool the economy that has exceeded expectations, despite monetary tightening.

The majority of officials at the last meeting supported a 25-base-point interest rate increase, with some officials supporting or supporting a 50-base point increase. The majority of participants agreed that slowing the rate hike at the moment would allow for more precise risk management.

Although some participants consider that there is a higher chance of a recession in 2023, the latest report on nonfarm payroll showing the addition of 517.000 jobs in January has reduced discussions about the recession.

Fed members also agreed to continue with plans to reduce the size of ownership of Federal Reserve securities, but they remain wary of possible risks and need to take further action to keep inflation low.

The crypto market showed a thinner bullish momentum at the time this article was written, with the price of Bitcoin rising by 0.41 percent and the total market capitalization of all cryptocurrencies falling by 2.92 percent from the previous day.

Meanwhile, the stock market is volatile as traders digest the minutes from the last Federal Reserve meeting, which shows that policymakers support the increase in the federal interest rate this year. Dow Jones Industrial Average remains flat, while S&P 500 and Nasdaq Composite have increased by 0.1 percent and 0.3 percent, respectively.

The Federal Reserve is expected to hold its next meeting in March, in which it will announce its latest interest rate decision on March 22. Until then, investors are expected to focus their attention on inflation-related statistics and unemployment claims.

Setelah satu tahun kenaikan suku bunga berturut-turut, The Fed memutuskan untuk kembali ke ukuran kenaikan suku bunga yang lebih standar pada akhir pertemuan yang berlangsung pada tanggal 31 Januari dan 1 Februari, dengan menaikkan suku bunga sebesar setempat poin persentase.

Responding to the Fed's move, the number one cryptocurrency by capitalization, Bitcoin (BTC) has decreased by 1.6 percent in the last 24 hours. Currently, BTC is trading at IDR 367 million per coin, according to CoinMarketCap data.