The US Federal Reserve announced at the end of last week that it raised the interest rate by 0.75 points, to reach 2.25%, in an attempt to reduce the inflation rate and face the high prices in America, which is the largest economy in the world.
An increase in the interest rate leads to an increase in the dollar’s trading price, which is usually inversely proportional to the trading price of bitcoin, gold and US stocks.
It is noteworthy that the price of Bitcoin at the time of the Fed’s announcement of the interest rate hike shocked everyone, contrary to all expectations of analysts who emphasized the drop in the price, citing that positive news on the dollar always leads to a decrease in the price of Bitcoin, but it surprised them all by increasing its price by a large percentage, contrary to usual.
The price of one piece of Bitcoin before the Fed’s announcement was $20900, bringing the price up at the time of the Fed’s announcement to reach 23900 per piece, causing shock and great losses for everyone who expected its decline.
Bitcoin is trading today at a fluctuating price between “23500-24300” dollars, subject to rise and fall depending on the volume of trading on it, and negative and positive news.