A Fed rate increase would be a mistake, some observers say as bitcoin, gold, stocks fall

Some observers say a Fed rate increase now would be a policy mistake as bitcoin, gold and stocks have already weakened. They warn tighter policy would likely exacerbate market stress by driving further outflows from risk assets and commodities while strengthening the dollar and real yields. For Bitcoin specifically, a rate hike risks additional downward pressure by reducing speculative demand and liquidity, whereas a pause in hikes could help stabilize or support BTC alongside other risk assets.