The Chairman of the Federal Reserve of the United States, Jerome Powell, is scheduled to give a speech today, October 19, 2023, at the Economic Club of New York, amid the price of Bitcoin (BTC) experiencing an increase of more than 6% compared to a week ago, due to the hope of the first approval Real Bitcoin Exchange Traded Fund (ETF) by U.S. Securities and Exchange Commission (SEC).
In the previous meeting of the Federal Open Market Committee (FOMC) on September 21, the Chairman of the Fed had hinted at a possible increase in interest from the current interest rate of 5.25% to 5.50%. He noted that the majority of policymakers believe that there is a likelihood of another interest rate hike being seen as appropriate. Therefore, traders and investors will be watching closely in today's speech for any indication of a possible rate hike at the November FOMC meeting.
Powell will provide an outlook on the US economy and monetary policy, where investors are looking for clues on the setting of interest rates in the upcoming FOMC meeting. Reuters reported that US Fed officials along with Powell expressed "agreement to keep interest rates unchanged" in his speech.
The Fed Chairman's comments may give new clues, whether to raise rates or keep them. It could also set the tone for a BTC price rally, which may return to the previous high of $30,000, if Powell's speech gives clear hope of a delay in rate hikes in the upcoming meeting.
The latest phenomenon regarding the approval of real Bitcoin ETFs in the United States may give a new direction to the way the crypto market is perceived by the public.
