Bitcoin prices have risen 4.5% in the last 24 hours, reaching a new high since March 9 and trading at $85,500. The surge follows the US Federal Reserve’s decision to maintain interest rates steady at 4.25%-4.50%. However, not all analysts are optimistic about the outlook.
Despite the Fed’s confidence in transitory tariff-related inflation, some commentators remain skeptical, questioning the Federal Reserve’s stance on the issue. Economist Mohamed A. El-Erian has expressed concerns that it may be too early to declare with certainty that inflationary effects will be transitory.
Meanwhile, gold prices continue to rise, surpassing $3,000 per ounce and hitting a new record above $3,050. The move is seen as a sign of the US central bank’s signaling that any additional rate cuts would likely harm stocks.
Crypto stocks are also experiencing gains, with bitcoin mining companies like Bitdeer and Core Scientific up 10% and 8%, respectively. However, it’s worth noting that both companies have struggled in recent months, with Bitdeer down over 61% since January and Core Scientific down over 53%.
The Federal Reserve Chair Jerome Powell has stated that recession risks remain low, but market commentators are taking a cautious approach due to the ongoing uncertainties and past policy mistakes. As gold prices continue to rise, investors will be watching closely for any further developments in the cryptocurrency market.
Source: https://www.coindesk.com/markets/2025/03/19/bitcoin-reclaims-usd85k-following-fed-and-stocks-rose-but-one-analyst-suggests-caution