Bitcoin, the largest cryptocurrency, rallied to an intraday high of $44,031 on the Bitstamp exchange after the U.S. Federal Reserve announced its decision to leave interest rates unchanged.
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The FOMC also announced that tapering of its bond purchases may begin soon:
If progress continues broadly… a moderation in the pace of asset purchases may soon be warranted.
Fed Chair Jerome Powell expects "elevated" inflation to remain in place for months.
Powell adds that the bond-buying spree may come to an end by the second half of 2022. The FOMC could make an announcement about tapering during its next meeting.
The flagship cryptocurrency slipped below $40,000 on Sept. 21 in the aftermath of a two-day sell-off triggered by Evegrande contagion fears that swept over global financial markets earlier this week.
Tomiwabold Olajide
Godfrey Benjamin
Arman Shirinyan
