Here is why Bitcoin price gave back all its intraday gains
BTC price retraced the entirety of its intraday gains after Fed chair Jerome Powell issued hawkish statements in relation to today’s 0.50% interest rate hike. On Dec. 14, Bitcoin (BTC) price hit a 1-month high and saw a brief resurgence in bullish momentum, but the Federal Reserve’s Federal Open Market Committee (FOMC) hawkish report and comments from Fed chair Jerome Powell sent BTC to an intraday low at $17,659. Stocks and Bitcoin started the day slightly up but quickly retracted on the FOMC report. To date, Bitcoin price remains closely correlated to equities and a majority of investors have concerns about the impact of further rate increases in the future. BTC correlation to Dow Jones and S&P 500. TradingView Rising interest rates and hawkish talk from Powell impact BTC price While the Consumer Price Index (CPI) report showed easing inflation at 7.1%, Powell still wants to reach 2% overall inflation. Inflation has been a determining factor in raising interest rates and the