Federal Reserve Maintains Key Rate; Bitcoin Dips to $66,400

On July 31, the United States Federal Reserve maintained its key interest rate range at 5.25–5.5% per annum.

The decision aligned with market expectations.

On July 11, the U.S. Bureau of Labor Statistics released a report on consumer prices, revealing an index value below the forecast—3% compared to the anticipated 3.1%.

The cryptocurrency market reacted minimally to the decision, with Bitcoin briefly falling to $66,400.

In the past hour, all top-10 digital assets by market capitalization showed slight positive movement. According to CoinGecko, Dogecoin (+0.8%) and Solana (+0.7%) led the gains.

At the time of writing, the cryptocurrency market capitalization stands at $2.5 trillion.

In July, Federal Reserve Chair Jerome Powell warned that the institution would not wait for inflation to fall to 2% before starting to lower interest rates.

Previously, former New York Fed President William Dudley urged the Federal Reserve to cut the rate in July.

Back in July 2023, the Federal Reserve raised the key rate to 5.25-5.5% per annum. Since then, the rate has remained unchanged. This marks the eighth consecutive decision to maintain the rate.