Crypto Prices Rally On 25 BPS Rate Cut, Dovish Dot Plot, Ignores Powell’s Hawkish Tone
The post Crypto Prices Rally On 25 BPS Rate Cut, Dovish Dot Plot, Ignores Powell’s Hawkish Tone appeared on BitcoinEthereumNews.com. The US Federal Reserve has cut its benchmark interest rate by 25 basis points, bringing it to a range of 400–425 bps, in line with market expectations. Crucially, the Fed’s Survey of Economic Projections indicates that FOMC members expect another 50 bps reduction by year-end, equivalent to two additional rate cuts, which is a decidedly bullish scenario for risk assets. While a 25 bps cut was already priced in, crypto prices saw a sharp rally on the dovish SEP, with meme coins like Dogecoin, SPX6900 and Fartcoin among the top gainers. Ethereum ecosystem coins like Ether.fi, Virtuals Protocol and Optimism are also showing bullish strength. Fed Chair Jerome Powell’s post-FOMC comments temporarily threw cold water on the market rally, indicating that the Fed remains data-dependent and is in no rush to cut rates. Moreover, the FOMC statement reveals that the central bank’s Quantitative Tightening will continue. The Bitcoin price momentarily fell to $114,700 following the hawkish Powell speech. However, it has since bounced back above $116,000. Altcoins are breaking out from key resistance levels, indicating that a broader crypto market rally could be on the horizon. Crypto Market Ignores Powell’s Surprisingly Hawkish FOMC Speech The Federal Reserve did cut interest rates by 25 bps, as was largely priced in by the financial markets. Similarly, the Fed’s Survey of Economic Projections, or dot plot, reveals that most FOMC members agree on two additional cuts this year. The CME FedWatch, which tracks the bets placed by interest rate traders, is already showing over 80% odds of another 50 bps reduction in the federal funds target rate. However, Fed Chair Jerome Powell’s post-FOMC speech was surprisingly hawkish, or at least not as dovish as many had expected. Powell acknowledged the downside risk in the US jobs market, highlighting the “very, very low” hiring…
The post Crypto Prices Rally On 25 BPS Rate Cut, Dovish Dot Plot, Ignores Powell’s Hawkish Tone appeared on BitcoinEthereumNews.com.
The US Federal Reserve has cut its benchmark interest rate by 25 basis points, bringing it to a range of 400–425 bps, in line with market expectations. Crucially, the Fed’s Survey of Economic Projections indicates that FOMC members expect another 50 bps reduction by year-end, equivalent to two additional rate cuts, which is a decidedly bullish scenario for risk assets. While a 25 bps cut was already priced in, crypto prices saw a sharp rally on the dovish SEP, with meme coins like Dogecoin, SPX6900 and Fartcoin among the top gainers. Ethereum ecosystem coins like Ether.fi, Virtuals Protocol and Optimism are also showing bullish strength. Fed Chair Jerome Powell’s post-FOMC comments temporarily threw cold water on the market rally, indicating that the Fed remains data-dependent and is in no rush to cut rates. Moreover, the FOMC statement reveals that the central bank’s Quantitative Tightening will continue. The Bitcoin price momentarily fell to $114,700 following the hawkish Powell speech. However, it has since bounced back above $116,000. Altcoins are breaking out from key resistance levels, indicating that a broader crypto market rally could be on the horizon. Crypto Market Ignores Powell’s Surprisingly Hawkish FOMC Speech The Federal Reserve did cut interest rates by 25 bps, as was largely priced in by the financial markets. Similarly, the Fed’s Survey of Economic Projections, or dot plot, reveals that most FOMC members agree on two additional cuts this year. The CME FedWatch, which tracks the bets placed by interest rate traders, is already showing over 80% odds of another 50 bps reduction in the federal funds target rate. However, Fed Chair Jerome Powell’s post-FOMC speech was surprisingly hawkish, or at least not as dovish as many had expected. Powell acknowledged the downside risk in the US jobs market, highlighting the “very, very low” hiring…
What's Your Reaction?
