luciousthegreat

$BTC



look at the track record of bitcoin whenever it reaches an All time high,
a correction of 80% is to be expected at least

good luck

A potential rate cut by the U.S. Federal Reserve could have a significant impact on Bitcoin and Ethereum, though the effect may depend on market expectations and broader economic conditions. Historically, lower interest rates tend to boost liquidity and risk appetite, making assets like cryptocurrencies more attractive as borrowing costs fall and yields on safer investments decline. This shift can lead to increased inflows into digital assets — recent data already shows rising crypto fund inflows driven by expectations of a rate cut. A softer dollar and lower bond yields could also push investors toward alternatives like BTC and ETH. Previous rate-cut cycles have correlated with strong short-term gains for both tokens, with Bitcoin and Ethereum rallying over 15–30% within weeks of the first cuts, particularly when policy easing signals were clear.
However, the upside may be limited if the rate cut is already priced in. Markets often anticipate monetary moves, meaning that much of the optimism may have been reflected in prices ahead of the announcement. Additionally, a rate cut could be interpreted negatively if it signals a weakening economy or rising recession risk. In such cases, even risk assets like crypto could face selling pressure. The reaction may also depend on the size of the cut and the tone of the Fed’s messaging—an unexpectedly dovish stance could spark a rally, while a cautious or data-dependent approach might dampen enthusiasm.
For Bitcoin, a moderate rally is likely if the cut signals a broader easing cycle, while Ethereum may outperform slightly due to stronger ecosystem growth and inflows into ETH-based ETFs. Yet, if the cut is small or purely symbolic, the market could react with volatility or even a short-term pullback. Overall, while a Fed rate cut generally supports a “risk-on” environment that favors crypto assets, the magnitude of the impact will hinge on timing, market sentiment, and whether investors perceive the policy shift as a sign of confidence or concern.
#Bitcoin #Ethereum #Crypto #CryptoNews #CryptoMarket