Bitcoin's price has shown inconsistent responses to US Federal Reserve interest rate changes since 2019, according to RBC. In 2019, the Fed's three rate cuts led to mixed Bitcoin price movements. During the COVID-19 crisis in 2020, rate cuts initially caused a sharp price drop, followed by a recovery. From 2022 to 2023, rate hikes resulted in a significant decline in Bitcoin's value. However, in 2024, Bitcoin surged over 75% amid rate cuts and Donald Trump's presidential victory. The analysis underscores the complexity of predicting Bitcoin's future reactions to Fed rate changes, highlighting the role of economic data in shaping monetary policy decisions.
Bitcoin's Varied Reactions to US Fed Rate Changes Since 2019
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