On May 8, the Federal Reserve, withstanding pressure from Trump, announced in the early morning that it would maintain the benchmark interest rate between 4.25% and 4.5%. This is the third consecutive meeting without a rate cut. Despite the economic contraction in the first quarter and inflation pressures caused by Trump administration's import tariffs, the Federal Reserve still stated that the economy is "steadily growing" and the job market is "strong", emphasizing that the current inflation level is "slightly high but controllable" and has not yet signaled a rate cut.
Influenced by this resolution, Bit immediately rose above $99,000, reaching $99,587 at the time of writing, creating a new two-month high. Ethereum (ETH), XRP, SOL, and Doge remained stable with minimal price fluctuations.
BitMEX co-founder Arthur Hayes previously stated at the Token2049 conference that investors should thank US monetary authorities. He believes inflation may continue, and the market generally sees this as positive for assets like Bit. In an interview, he also noted: "I believe the current market environment is very suitable for the rise of risk assets, just like what we saw from the third quarter of 2022 to the early period of 2025."
Analysis shows the current market presents a complex game: on one hand, the high-interest environment continues to suppress investors' interest in high-risk assets like crypto; on the other hand, geopolitical risks and inflation expectations are driving some funds to use Bit as a "digital gold" for hedging.
Notably, the Federal Reserve's policy statement first mentioned "considering broad economic data rather than a single indicator", which the market interprets as a potential shift towards easing when economic slowdown signs become clear. Currently, CME rate futures show a 68% probability of a September rate cut, an increase of 12 percentage points from before the resolution. The correlation between crypto and traditional financial markets continues to strengthen, with macro policy changes becoming a key variable affecting digital asset prices.
BiyaPay, as the world's first multi-asset trading wallet, has demonstrated unique value by connecting 30 fiat currencies with 200 digital currencies for instant exchange. Users can directly participate in US/Hong Kong stock markets by exchanging USDT 1:1 with USD, with zero transaction fees for digital currencies, spot/contract Maker.
