The US Federal Reserve has cut interest rates by 25 basis points, and the price of Bitcoin is reacting
No surprises today as the US Federal Reserve announced a rate cut for the second consecutive time by 25 basis points
The US Federal Reserve decided to lower interest rates by a quarter percentage point (or 25 basis points) today in an attempt to stabilize the labor market, which seems to be starting to weaken.
This second cut comes amid a government shutdown that lasted for a month.
At the time of writing, the price of Bitcoin is trading at around $111,400, down over 3% in the past 24 hours.
Liquidations in derivatives markets remain somewhat high at around $560 million for today, while the total market capitalization of cryptocurrencies is $3.86 trillion according to CoinGecko data.
This move was largely expected and is likely priced in as traders in prediction markets like Polymarket have been weighing the odds in favor of it significantly for weeks
