Federal Reserve Tightening Continues: Policy Stance Amid Inflationary Pressures

【Blockchain Rhythm】Federal Reserve official Bostic recently stated that due to the still severe inflation situation, monetary policy needs to continue to maintain a tightening stance. This statement further confirms the Fed’s policy orientation in a high-inflation environment— the possibility of interest rate cuts in the short term remains limited.

For cryptocurrency market participants, this signal is highly significant. Tightening policies often mean liquidity tightening and rising borrowing costs, which in turn affect the valuation of risk assets. Historical experience shows that the Fed’s policy shifts are often a major driving force behind cryptocurrency price fluctuations. Investors should closely monitor subsequent policy developments and economic data when adjusting their strategies.