Bitcoin News Today: Fed Maintains Rates Amid Trump Pressure Bitcoin Up 0.13% After Decision

Generated by AI AgentCoin World
Wednesday, Jul 30, 2025 2:36 pm ET1min read
Aime RobotAime Summary

- The Fed kept rates unchanged in July 2025, defying Trump's calls for aggressive cuts to boost the economy.

- Bitcoin rose 0.13% post-decision but remained stable, indicating market expectations were already priced in.

- Policy divergence between the Fed and Trump highlighted, with investors turning to Bitcoin as an inflation hedge.

- Geopolitical risks and regulatory shifts, including Trump's tariffs, further influence Bitcoin's price trajectory.

- Future Bitcoin performance depends on Fed's balance of inflation control, employment goals, and global economic dynamics.

The Federal Reserve’s decision to keep interest rates unchanged for the fifth consecutive meeting on July 30, 2025, defied repeated calls from U.S. President Donald Trump, who had urged the central bank to implement aggressive rate cuts to stimulate the economy. The Fed’s policy-making body voted 9-2 to maintain the status quo, citing a moderate slowdown in economic growth, persistently high inflation, and a low unemployment rate. The outcome was largely anticipated by markets, yet it triggered discussions about the potential implications for Bitcoin and other asset classes [1].

Bitcoin had surged to around $118,000 ahead of the announcement, driven by expectations of a rate cut. However, after the Fed’s decision to hold rates, the cryptocurrency’s price remained largely stable, with only a marginal 0.13% increase. This muted response suggested that much of the news was already priced in by investors, who had anticipated the outcome. Despite initial volatility before and after the announcement, Bitcoin’s price quickly returned to its pre-announcement level, indicating a degree of market complacency [2].

The Fed’s refusal to lower interest rates reflects a divergence in policy priorities between the White House and the central bank. While Trump had pushed for an unprecedented rate cut of three basis points to boost economic activity, the Fed emphasized its commitment to price stability. The central bank noted that inflation remains elevated and that financial conditions are already accommodative. This stance has led to growing uncertainty among investors, with some turning to alternative assets like Bitcoin as a potential hedge against macroeconomic risks [3].

Bitcoin’s recent price movements also appear influenced by broader geopolitical and regulatory developments. Trump’s proposed global tariffs, which range from 15% to 20%, have heightened uncertainty in global trade, but the cryptocurrency has not shown significant volatility beyond short-term fluctuations. Additionally, Bitcoin’s rebound following Trump’s electoral victory was driven by expectations of a more favorable regulatory environment, though this trend appears separate from the Fed’s current policy stance [3].

The mixed reactions to the Fed’s decision highlight the complex interplay between monetary policy and financial markets. While some analysts view Bitcoin as a potential inflation hedge, others remain cautious about the broader economic risks posed by high inflation and geopolitical tensions. The cryptocurrency’s performance going forward will likely depend on how the Fed manages its dual mandate of price stability and maximum employment, as well as the evolution of the regulatory and geopolitical landscape [4].

Source:

[1] CryptoPotato, [https://cryptopotato.com/fed-ignores-trumps-plea-to-cut-rates-how-will-bitcoins-price-react/](https://cryptopotato.com/fed-ignores-trumps-plea-to-cut-rates-how-will-bitcoins-price-react/)

[2] FXEmpire, [https://www.fxempire.com/crypto/bitcoin/news](https://www.fxempire.com/crypto/bitcoin/news)

[3] Seeking Alpha, [https://seekingalpha.com/article/4805920-bito-there-are-better-ways-to-play-bitcoin-technical-analysis](https://seekingalpha.com/article/4805920-bito-there-are-better-ways-to-play-bitcoin-technical-analysis)

[4] Montana, [https://mtstandard.com/opinion/column/article_1b225439-53a3-5ec9-b45d-ede20f053f52.html](https://mtstandard.com/opinion/column/article_1b225439-53a3-5ec9-b45d-ede20f053f52.html)

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