Bitwise CIO: Interest rate decisions in the next five years will have less impact on Bitcoin than in the past 15

Comparing the news, Matt Hougan, chief investment officer of Bitwise, posted that interest rate decisions in the next five years will have less impact on Bitcoin than in the past 15 years. He said that since the inception of Bitcoin, interest rates have fluctuated greatly between 0% to 2.5%, 0% to 5%, and 3.5%. The changes are measured in percentage points as a whole, but future adjustments may be more moderate. The CME expects interest rates to rise by only 50 basis points in the next year.

Matt Hougan determined that the Federal Reserve under Warsh might be closer to the slightly fine-tuning style of the Greenspan era in the mid-90s rather than the model of the recent Bernanke and Powell period. If this is true, since interest rates change less, their impact on Bitcoin will also weaken. Interest rates are still important, but the weight of other factors will increase.