Interest rates is one of the factors that can be studied to check whether the nations' currency value increases or decreases.
All other factors held equal, a high interest rate increases the value of the country's local currency. This is because high interest rate attracts foreign investors to invest in said country. Foreign investor's monetary investments are usually converted into the country's local currency. Thus, increasing the demand for and value of the local currency.
Low interest rates detracts foreign investors from investing in the country. It also decreases the value of the local currency.
Other factors that effect the value of a country's currency are its rate of inflation, its economic and political stability, and its balance of trade between exports and imports.