Bitcoin price today: How did BTC USD hit $86,000 after $999 million Bitcoin ETF inflow defied Fed rate hik

Bitcoin did something the crypto market was not necessarily expecting on September 21, instead of falling after the CLARITY Act failed and the Federal Reserve raised interest rates by 25 basis points, Bitcoin climbed to $86,000, a level not seen since January 28.

The cryptocurrency had gained roughly 15% in six days, while US Bitcoin exchange-traded funds attracted $999 million in new investment on Monday, according to Farside Investors data cited by Bitcoin Magazine.

The question now is less about why the market ignored the bad news and more about whether investors had already absorbed it before the events actually happened.

Bitcoin Price Today: BTC USD Reaches $86,000

Bitcoin recently traded at $86,552 after reaching $87,330 on Monday, according to Bitcoin Magazine. Over the previous seven days, its price had climbed nearly 13%.

The move came despite two developments that had been widely expected to put pressure on crypto: the failure of the CLARITY Act and the Federal Reserve's 25 basis point rate hike.

Analyst John Gillen offered an explanation for why the market reaction was different from what some investors expected.

Why the Fed Rate Hike Did Not Spark a Bitcoin Selloff

According to Gillen, the Federal Reserve's rate hike had already been reflected in market expectations before the decision arrived.