How does the FOMC interest rate hike affect the value of cryptocurrencies?

1 answers

• Nov 26, 2021 · 3 years ago
  At BYDFi, we closely monitor the impact of FOMC interest rate hikes on the value of cryptocurrencies. While it's difficult to predict the exact outcome, historical data suggests that interest rate hikes can have a short-term negative impact on the value of cryptocurrencies. This is because higher interest rates can lead to a stronger US dollar, which can make cryptocurrencies less attractive to investors. However, it's important to remember that the cryptocurrency market is highly volatile and influenced by various factors. Therefore, it's crucial for investors to conduct thorough research and consider multiple factors before making any investment decisions.
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