With the highest inflation rates in the last 40 years, the US Central Bank Fed decided to meet for an extraordinary meeting. So, how can this affect the crypto money ecosystem, which includes Bitcoin and altcoins? When will the meeting be, what will be discussed? As Kriptokoin.com, we are giving the details…
The Fed has decided to have an extraordinary meeting
Economic meetings in the USA affect many assets. Among those affected are Bitcoin (BTC), the largest cryptocurrency by market capitalization, and altcoins. In fact, due to the release of US CPI data the other day, BTC fell from around $ 45,000 to $ 43,000. While the USA is facing the highest inflation rates in 40 years, it was reported that an extraordinary meeting was decided on February 14 under the leadership of FED Chairman Jerome Powell. It is stated that the content of the meeting will be the review and determination of the advance and discount rate to be applied by the FED.
Economists think that if CPI increases continue to exceed expectations, the US Federal Reserve (FED) may bring higher interest rates, but a slower rate of increase may be seen to ease inflation pressures. . According to the Consumer Price Index (CPI) rates, inflation in the country had the highest increase since 1982.
How might Bitcoin and altcoins be affected?
It is of course impossible to say for sure without a meeting, but usually the meetings of the US Federal Reserve or a new development in the US economy affect the stock markets, gold as well as cryptocurrencies. For example, Bitcoin fell slightly after the inflation rates announced the other day. After the Fed meeting on January 26, BTC experienced a sharp decline, falling to around $35,000, which it had not seen for a long time. Due to the fall of BTC, a collapse was also observed in other cryptocurrencies. Ethereum (ETH), the second largest cryptocurrency, fell below $3,000. At the time of writing, Bitcoin is down 3.8 percent at $43,496, while the leading altcoin has also recovered and is changing hands at $3,105.
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