The FED maintains the status quo and leaves rates unchanged

The Fed once again chose inaction on July 29, 2026 by keeping rates frozen between 3.50% and 3.75%. A decision criticized by Peter Schiff, who denounces a deliberate choice in favor of inflation. But what do the markets think?

Fed rates frozen: between caution and criticism

This Wednesday, July 29, 2026, the American Federal Reserve (FED) once again maintained its key rates in the range of 3.50% to 3.75%, marking the fifth consecutive meeting without change. A decision taken by a majority of 9 votes to 3, with three notable dissenters: Loretta Mester (Cleveland), Neel Kashkari (Minneapolis) and Lorie Logan (Dallas), who argued for an immediate increase of 0.25%. The Fed justifies this status quo by:

• A still solid American economy, despite persistent inflationary pressures such as inflation which remains above the 2% objective;
• Geopolitical uncertainties, particularly in the Middle East.

But this caution is far from unanimous. Peter Schiff, an economist known for his hawkish positions, did not fail to criticize this approach. According to him, the Fed talks about fighting inflation, but in reality, it promotes it. A criticism that particularly resonates in a context where gold and cryptos could become safe havens… or collateral victims.

Crypto: Bitcoin jumps after rates hold, will altcoins follow?

Of the the announcementbitcoin reacted positively with an immediate slight increase. A trend that could quickly spread to other cryptos like Ethereum and the main altcoins. But why is this maintenance of rates seen as a bullish signal for digital assets?

• Abundant liquidity: Stable rates signal that the Fed is (for now) avoiding aggressive monetary tightening, which maintains a favorable environment for risky assets like cryptos;
• Anticipation of future declines: Some investors are betting on monetary easing in 2026, which could further stimulate the crypto market;
• Psychological effect: After months of pressure, the status quo is seen as a relief, especially for players in the sector, already undermined by previous rate increases.

However, caution remains in order. If the Fed changes its tone in September with an increase now likely to 75-80% depending on the futures markets, cryptos could suffer a brutal correction. Not to mention that three out of nine dissenters is a rare sign of division within the Fed, which adds further uncertainty.

The Fed delays and leaves its rates unchanged, bitcoin is racing. But for how long? Between monetary prudence and appetite for risk, investors are playing a perilous balance.