Powell Maintains Caution on US Interest Rate Cuts

Federal Reserve Chairman Jerome Powell maintained interest rates at 4.3% on July 24 due to inflation concerns despite President Trump’s criticism at the Integrated Review Conference.

Powell’s cautious approach impacts both traditional and crypto markets amid tariff pressures and USD volatility, with no immediate crypto regulatory changes reported.

Powell’s Stance Amid Tariff Pressures and Inflation Concerns

Under the influence of ongoing tariff policies, Federal Reserve Chair Jerome Powell reiterated his cautious stance towards potential interest rate adjustments. Powell expressed a need to ensure inflation stabilization before committing to any rate cuts. This position responds to previous financial pressures, including recent comments from President Donald Trump criticizing the Fed’s decisions.

The Federal Reserve has kept the federal funds rate at 4.3%, affected by enhanced trade tariffs which have influenced economic projections. Several actors, including President Trump, have called for rate cuts to counter the economic burden. Powell’s insistence on waiting for more stable evidence of inflation reflects his commitment to systemic security.

Statements from key figures, such as President Trump calling Powell a “stubborn mule,” highlight growing political pressure. Market analysts observe potential shifts in asset valuation, especially in cryptocurrencies like BTC and ETH, influenced by such tensions. Changes are yet to be implemented but are areas of focal interest amidst ongoing speculative discussions.

Bitcoin Tops $118K Amid Fed’s Interest Rate Decisions

Did you know? Past uncertainties in U.S. monetary policy, such as in 2018-2019, often led to increased BTC demand as a hedge against dollar volatility. Recent tariff-induced tensions could catalyze similar market reactions, particularly in crypto holdings.

As of July 24, 2025, Bitcoin (BTC) trades at $118,222.85, boasting a market cap of $2.35 trillion and a 24-hour trading volume of $72.82 billion, according to CoinMarketCap. This represents a -0.03% change within 24 hours. Over the last 90 days, Bitcoin saw an increase of 26.07%.

Insights from the Coincu research team suggest that while cryptocurrency markets remain largely unaffected by immediate Federal Reserve policies, upcoming economic decisions will likely shape future market dynamics. Potential technological updates and financial shifts, consequently influencing regulatory strategies, continue to draw attention amidst ongoing speculative discussions.