Fed Raises Rates to 3.75%–4.00%; Bitcoin Reacts Only Moderately
The Fed raised its rate by 25 basis points. After the announcement, Bitcoin traded volatilely around $75,000 without a clear, significant reaction.
The Fed rate hike was confirmed by the September FOMC meeting: on September 16, the U.S. central bank raised the federal funds target range by 25 basis points to 3.75%–4.00%. The decision was unanimous. Immediately after the announcement, Bitcoin did not show a clear major move and, according to reports from CoinDesk and Decrypt, fluctuated around the $75,000 mark.
This was the Fed’s first rate hike since 2023. In its decision, the Fed stated that inflation remains elevated and that tighter monetary policy is intended to support its return to the 2% target.
Fed Rate Hike and the Outlook for Year-End
Along with its decision, the Fed also released updated projections from FOMC participants. These are not a committee decision or a commitment to future action, but individual estimates from 18 participants.
The dot plot shows that 16 of the 18 participants consider at least one additional rate hike by the end of 2026 appropriate. Twelve project a year-end midpoint of 4.125%, while four others project 4.375%.
This distribution indicates a more restrictive outlook, but it cannot be taken as certainty that another hike will occur. Future FOMC decisions will depend on assessments of economic data and inflation developments.
Bitcoin Fluctuated Around $75,000 After the Decision
The immediate reaction of the largest cryptocurrency was limited, although volatile. CoinDesk reported that Bitcoin changed little from its pre-announcement level shortly after the decision was released. Decrypt recorded a brief move toward $76,000, after which the price again traded in a broader short-term range around $75,000.
Bitcoin’s short-term price movement cannot reliably be attributed solely to the Fed’s move. Other factors also affect cryptocurrency-market trading, and the limited reaction in the first few minutes says nothing about the price’s future direction.
Higher U.S. rates are relevant to the crypto market because they can change investors’ willingness to take on risk. In this case, however, Bitcoin did not immediately respond to the announced tightening with a significant and clear move.
What the Market Will Focus on Next
The next FOMC meetings are scheduled for October 27–28 and December 8–9, 2026. The market will focus in particular on new inflation and labor-market data, statements from Fed officials, and whether the median year-end rate projection is reflected in the committee’s next decision.
For cryptocurrencies, developments after the immediate reaction to the September decision fades will also be important—not only for Bitcoin, but for the broader crypto market.
Sources
- Federal Reserve – Confirms the unanimous 25-basis-point rate hike to a range of 3.75%–4.00% and the inflation-based rationale.
- Federal Reserve — FOMC Projections – Confirms the distribution of 18 individual year-end 2026 rate projections, showing that 16 participants see at least one additional hike.
- CoinDesk – Reports that Bitcoin was volatile shortly after the announcement but changed little from its pre-announcement level.
- Decrypt – Reports Bitcoin’s short-term price range after the decision and a temporary move toward $76,000.
Verified and updated: 09/17/2026 07:45
