The Federal Reserve (FED) increased interest rates by 25 basis points on Wednesday to the 5.25%-5.50% range. Although this decision affected the economic balances, it was expected by the markets and although Bitcoin initially showed a slight decline, it recovered in a short time. FED Chairman Jerome Powell pointed out that there may be another rate hike at the FOMC meeting in September and stated that they will follow a careful strategy regarding inflation. Markets are speculating about a possible rate cut in the new year, as uncertainty continues about the FED's future rate hikes. However, Powell announced that he does not foresee a rate cut this year.