Cryptocurrency bitcoin rose by 9% overnight

The cryptocurrency bitcoin rose by 9% overnight, thanks to the Federal Reserve’s (Fed) key rate hike, which was raised by 75 basis points at once.

After the key rate range was raised to 2.25−2.5%, the value of digital assets in the market increased. The flagship cryptocurrency is no exception, which at the time of writing is trading at $ 23,173, which is 9.23% higher than the same time yesterday.

According to the Fed, the war in Ukraine is driving up inflation and weighing on global economic activity. «Recent months have seen steady job growth and low unemployment. Inflation remains high, reflecting the imbalance in supply and demand associated with the pandemic, high food and energy prices, and broad-based price pressures,» the Fed said.

As a reminder, yesterday it became known that the cost of commodities fell by 9% over the week. Analysts said that the decline in the value of bitcoin weakened users' hopes for a cryptocurrency recovery and brought bitcoin back to the trading range of $ 19,000 to $ 22,000. It seems that after a 9% overnight rise, analysts and investors may change their minds.