The Federal Reserve raised interest rates for the first time since 2023 on September 16, 2026, moving the federal funds target range up by a quarter percentage point while Bitcoin held its ground, trading near $76,353 as broader risk assets absorbed the policy shift.
The Federal Reserve raised interest rates for the first time since 2023 on September 16, 2026, moving the federal funds target range up by a quarter percentage point while Bitcoin held its ground, trading near $76,353 as broader risk assets absorbed the policy shift.
Federal Reserve Raises Rates for the First Time Since 2023
The Federal Open Market Committee voted 12-0 to raise the federal funds target range by 25 basis points to 3.75 to 4 percent. The Committee stated that inflation remained elevated and that the increase supported a timelier return to its 2 percent goal. For related coverage, see Federal Reserve Maintains Rates Amid Oil Price Concerns.
The last time the Fed raised rates was in July 2023, when the FOMC lifted the target range to 5.25 to 5.5 percent. The September 2026 decision marks a resumption of tightening after a multi-year pause that included a cutting cycle bringing rates down from that peak. For related coverage, see US Inflation Rises to 3.8% as Bitcoin, XRP and ADA Fall.
The September increase was widely expected, and CNBC reported a broad risk-asset selloff following the announcement. Andrzej Skiba noted that “risk assets were not enamored with the outcome of today’s FOMC” and that “hopes of limited hikes ahead faded in the face of the Fed’s resolve to address inflation.” For related coverage, see Will Bitcoin Skyrocket When Iran War Ends? Key Signals.
Rate increases affect Bitcoin through multiple macro channels: a higher federal funds rate raises the opportunity cost of holding non-yielding assets, strengthens the dollar, and tightens dollar liquidity globally. Investors watching the Fed’s path had already priced in this quarter-point move, which helps explain why the immediate Bitcoin reaction was muted.
Why Bitcoin Held Steady After the Rate Decision
Bitcoin traded at $76,353, up 0.78 percent over the prior 24 hours, according to a CoinGecko market snapshot taken around the time of the decision. Market capitalization stood at approximately $1.53 trillion, with 24-hour volume near $31.1 billion.
The crypto Fear and Greed Index registered 50, classified as Neutral, indicating that market sentiment was neither euphoric nor panicked heading into the announcement. A neutral baseline suggests positioning was balanced rather than leveraged in one direction, which can dampen the immediate volatility of a macro shock.
Bitcoin’s steady footing stands in contrast to the broader risk-asset selloff that CNBC described following the FOMC statement. The rate move to 3.75 to 4 percent and its implications for liquidity conditions will continue to be evaluated by market participants in the days ahead. Prior episodes, including the inflation print that pushed Bitcoin and other assets lower earlier this year, show that macro signals can produce delayed rather than instantaneous repricing in Bitcoin.
What Crypto Investors Will Watch Next
What to Know
- The FOMC voted unanimously 12-0 to raise the federal funds target range to 3.75 to 4 percent on September 16, 2026, the first increase since July 2023.
- Bitcoin’s immediate response was steady, holding near $76,353 with a marginal 24-hour gain while broader risk assets sold off.
Forward guidance from Fed Chair Kevin Warsh and subsequent FOMC communications will be the primary determinant of whether this hike is a one-off recalibration or the start of a new tightening sequence. Each additional rate decision will reset liquidity expectations for Bitcoin and risk assets broadly.
Bitcoin’s network fundamentals remain independent of monetary policy cycles. The difficulty adjustment mechanism recalibrates every 2,016 blocks regardless of the federal funds rate, and hashrate trends reflect miner economics rather than central bank decisions. Investors tracking how macro conditions interact with Bitcoin’s price should distinguish between short-term sentiment-driven moves and the longer-term fixed-supply monetary properties that underpin Bitcoin’s value proposition.
Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.
