Bitcoin and Crypto Markets Fall as Fed Minutes Release

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Crypto Markets Drop Today After Federal Reserve published minutes from its July meeting in which the agency said it would continue to raise interest rates to keep inflation under control.

Bitcoin price fell 0.9% in the hour after the Fed announcement and was down 2.4% for the day. Ethereum was down 0.9% and 2% for the day.

The world’s largest cryptocurrency by market capitalization was trading at the time of writing for $23,303.53. Ethereum, the second-largest digital asset, was priced at $1,844.10, according to data from CoinGecko.

The stock market too soaked on the news: the Dow Jones fell 0.1%; the S&P 500 by 0.2%; and the Nasdaq, 0.6%.

Minutes from the July 26-27 US central banking authority meeting show that inflation was still too high, despite the strength of the labor market and the very low unemployment rate, and there was no evidence that it would diminish for the time being.

“Participants observed that inflation remained at an unacceptable level and was well above the Committee’s long-term target of 2%,” the minutes said.

He added that he would have to slow the pace of rate increases “at some point,” but that would depend on future data.

Inflation in the United States is currently at its highest level in four decades. Most countries in the world are also suffering from the rising prices.

Bitcoin, Ethereum, and virtually every other coin and token in the crypto market has been widely correlated with US stocks this year.

Investors holding cryptocurrencies have mostly sold them with “risky” assets, like tech stocks, preferring to hold US dollars instead. Jthis has helped drive the dollar, the world’s largest reserve currency, up relentlessly.

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