Bitcoin was trading higher on Wednesday — but only slightly — after the Federal Reserve decided to keep interest rates still.
The leading cryptocurrency was recently priced at close to $64,402 per coin, after moving up by nearly 1% in the hour following the announcement.
As expected, the U.S. central bank left the federal funds rate in the 3.50%-3.75% range. Three of the 12 members of the policy-setting Federal Open Market Committee “preferred” a quarter-percentage-point hike at this meeting.
Speaking to the press following the announcement, the Fed’s new Chair, Kevin Warsh, revealed little about where the central bank would go next.
“The Fed’s on the case,” he said. “I’ve been heartened by the reception I’ve received. We’re committed as ever to deliver.”
He added that the July rate decision was “a rigorous review of the economic situation.”
“I wouldn’t characterize what we did as anything like a pause,” he said. “I would characterize what we did as a rigorous review of the economic situation. I would characterize what we did as a review of the big, hard questions.”
Warsh, who took over in May, has said he has “no tolerance” for inflation that has been running above the central bank’s target for more than five years.
Bitcoin has typically performed well in a low-interest rate environment, and crypto investors have been hoping the Federal Reserve would cut rates to boost digital assets.
President Donald Trump since taking office has pushed for lower interest rates, and clashed with ex-Fed chair Jerome Powell over the matter.
For now, Warsh doesn’t seem like he’ll be going in that direction as sticky inflation continues to bother Americans.
The Federal Reserve started aggressively raising rates in 2022 in a bid to control 40-year-high inflation spurred by the COVID-19 pandemic. Bitcoin was hit by the tightening.
Then, in 2024, the central bank repeatedly cut rates. It has been hesitant to lower them since the end of 2025.