The Federal Reserve (Fed) decided at its meeting in June 2025 to maintain the interest rate unchanged in the range of 4.25% to 4.5%. This marks the fourth consecutive meeting without a change in rates and reflects a wait-and-see attitude by the central bank in light of current uncertainties regarding inflation, unemployment, and potential economic risks from trade tariffs.
Signals for Future Rate Cuts
Although no immediate changes were decided, the Fed signaled the possibility of future rate cuts. Depending on incoming economic data and careful monitoring of inflation and the labor market, these could occur in July or at a later date. Fed Chair Jerome Powell emphasized the central bank’s patience and noted that it is still too early to determine whether inflation or unemployment poses the greater challenge.
Impact on the Bitcoin Market
This scenario could particularly benefit the Bitcoin market. Generally, lower interest rates increase the attractiveness of alternative investments such as cryptocurrencies, as they reduce the opportunity cost of holding riskier assets. Bitcoin and other digital assets often respond positively to monetary easing or signals of such easing.
In summary, the US interest rate currently remains stable at 4.25–4.5%, but the Fed’s continued vigilance and potential rate cuts in July could have a favorable impact on the Bitcoin market.