Neither is a US Central Bank decision To reduce interest rates after the announcement and measured comments from Federal Reserve Chairman Jerome Powell. Bitcoin Lots on Wednesday.
But whose analyst Decryption I spoke to him, mostly bright Asset prices You will earn the ground for the rest of the year.
They said Powell’s focus on the sagging job market and wider concerns could lead to additional interest rate cuts, which could lead to higher Bitcoin and other cryptocurrencies. They also looked at other factors, including the growth of the Cryptocurrency Department as a boon.
“Powell surrounds today’s move as ‘risk management reductions’ and says he hasn’t pushed the 50 bps move significantly. Decryption. “FOMC Statement and Prediction Sketch A>Earlier on Wednesday, the Fed reduced the federal funding rate it set up to extend overnight loans between commercial banks from 4.25% to 4.50%.
The first cuts this year came after leaving an unchanged rate throughout five monetary policy meetings and after months of strong pressure from President Donald Trump, sensitive to being plagued by a drooping economy.
However, the decline in employment numbers, including a downward adjustment of over 900,000 to the number of jobs created over the year that ends this March, has shaken the banks.
“The risk to inflation is leaning upwards towards employment risk, and our framework calls for a balance on both sides of our dual mission.
Six hours after the announcement, Bitcoin had been trading nearly flat in the last 24 hours, nearly $117,000, according to Crypto Data Provider Coingecko, as investors were considering interest rate cuts. Since then, the price has cooled slightly to $116,600.
Stocks and other risk-on assets, likewise, were not impressed by the immersion of both the high-tech Nasdaq and the S&P 500. Crypto and Equity Markets met in the days leading up to the announcement, with Bitcoin climbing 2% over the past week.
In text DecryptionGerry O’Shea, head of global market research at Crypto Asset Manager HashDex, pointed to Bitcoin’s “muted” response to the announcement, but wrote, “other factors could help boost Bitcoin in the coming weeks, including ongoing demand from corporate finances and ETFs.”
“These factors may help drive Bitcoin to its all-time high in the coming weeks, along with more confidence from the market that additional cuts are likely,” he writes.
According to median bankers’ forecasts at the meeting, interest rates could fall to 3.6% by the end of the year, Powell said at a level that requires one major cut or separate small cuts in one of the last two meetings this year.
Additional median projections reduced to 3.4% by the end of 2026 and to 3.1% at the end of 2027.
“As always, these individual predictions are affected by uncertainty,” Powell said. “The policy is not in the preset course.”
“Both Wall Street and Main Street are about to enter a Fiat devaluation cycle that hasn’t been seen since 2021,” said Stephane Ouellette, CEO of FRNT Financial, a Crypto-focused investment bank. Decryption.
“Bitcoin is a clear alternative to this devaluation,” he writes. “It doesn’t happen at once, but as interest rate cuts continue, investors will allocate more to Bitcoin over time to protect their purchasing power.”
