Deniz 
With Bitcoin (BTC) hitting $61,000 for the first time in September, the Bitcoin market has begun to consider the future interest rate decision of the Federal Reserve of the United States. Growing excitement about Bitcoin Exchange-Traded Funds (ETFs) and the general market attitude fuels this spike mostly.
Before the Federal Reserve’s pronouncement, a favorable market mood was shown on September 17 by inflows of $250 million into spot Bitcoin ETFs. Reflecting increased investor confidence, data from Farside shows that the net capital flow into the bitcoin market on that day was the biggest in preceding months.
The direction of the market is greatly shaped by Bitcoin ETFs; therefore, the flood of money into these financial products emphasizes the increasing institutional interest in Bitcoin as a hedge against macroeconomic situations. The expectation around the Fed’s choice stems mostly from the possible effects of interest rate increases on highly risky assets like Bitcoin.
Particularly with regard to inflation rates and economic uncertainty in front of mind, investors have been keenly observing the Federal Reserve’s monetary policy posture. Often seen as a store of value akin to gold, Bitcoin attracts capital both when the currency depreciates or when inflation threats increase. Many investors read the substantial inflows in the ETF market as a sign of a possible continuation of the price surge for Bitcoin.
You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.