Question #472 ·
What effect did the 4.3% U.S. GDP growth report have on Bitcoin price movements?
- It lowered hopes of Fed rate cuts and pushed Bitcoin prices lower Right answer
- It had no impact because Bitcoin price does not follow economic data
- It triggered massive buying as investors expected faster Fed rate reductions
Why is this the correct answer?
This is correct because stronger GDP growth reduces the likelihood of the Federal Reserve cutting interest rates. Higher rates or no cuts can make risk assets like Bitcoin less attractive, causing downward pressure on Bitcoin’s price.