Powell’s Final FOMC Meeting: Bitcoin and Ethereum React to Steady Rates

The Federal Reserve held interest rates steady on Wednesday, April 29, 2026, marking the third consecutive pause this year. This decision, widely anticipated, came during what is expected to be Jerome Powell’s final Federal Open Market Committee (FOMC) meeting as chair. Bitcoin and Ethereum experienced modest declines following the announcement, as markets digested Powell’s remarks and assessed the future trajectory of monetary policy.

Federal Reserve Maintains Status Quo

The FOMC maintained the benchmark interest rate in a target range of 3.5% to 3.75%. This decision reflects a cautious approach amid ongoing global economic uncertainties, including conflicts in the Middle East. The Fed acknowledged these developments contribute to a “high level of uncertainty about the economic outlook.”

Crypto Market Response: Bitcoin and Ethereum Dip

Following the announcement, Bitcoin and Ethereum saw slight decreases in value. Bitcoin traded around $75,100, a 1.4% decrease over the past 24 hours, while Ethereum fell to approximately $2,240, down 2.3% in the same period. These movements suggest a degree of sensitivity within the crypto market to monetary policy signals.

Powell’s Farewell Address and Transition

During a post-decision press conference, Powell announced his intention to remain a voting member of the FOMC and transition into a governor role for a period yet to be determined. This decision was motivated by recent legal challenges to the Fed’s authority, which Powell believes threaten its ability to conduct monetary policy independently. He also indicated his willingness to serve as “chair pro tempore” until Kevin Warsh is confirmed, aiming for a smooth leadership transition by May 15, 2026.

Political Pressures and the Future of Monetary Policy

Throughout his second term, President Donald Trump has publicly pressured Powell to lower interest rates. This dynamic highlights the political considerations influencing monetary policy decisions and adds another layer of complexity to the Fed’s future actions.

Inflation Remains a Key Concern

Despite the steady interest rates, inflation remains above the Fed’s 2% target. The latest Consumer Price Index (CPI) data, released in March 2026, showed a 4.6% increase in prices over the past 12 months, up from 3.7% in February, though below a consensus expectation of 4.8%. This persistent inflation continues to be a key factor influencing the Fed’s policy decisions.

Key Takeaways

• The Federal Reserve held interest rates steady at 3.5%–3.75% during Jerome Powell’s expected final FOMC meeting as chair.
• Bitcoin and Ethereum experienced modest declines following the announcement, reflecting market sensitivity to monetary policy.
• Jerome Powell announced his intention to transition to a governor role and ensure a smooth leadership change with Kevin Warsh.
• Inflation remains a significant concern for the Fed, influencing its future policy decisions.