The Fed just kept rates unchanged at 4.25%–4.50%, but the pressure to cut is growing as Europe and China have eased their policies. Analysts suggest this could be the "jolt" that triggers a new growth cycle for the cryptocurrency market.
📉 Why are low interest rates beneficial for crypto?
Interest rates decrease → capital withdraws from bonds, flowing into risk assets like Bitcoin.
Bitcoin ETF opens up for institutional money flow → amplification effect of capital flow when liquidity is cheaper.
Global consensus: If the Fed acts, global markets will move in sync, creating a strong spillover effect.
📊 Current phase:
The market is accumulating, moving sideways, waiting for a loosening from the Fed.
Long-term investors see this as a "spring compression" before the bull run.
Assets like BTC, ETH could surge strongly when monetary policy reverses.
🧠 Conclusion:
Interest rate cuts will be the most important catalyst to usher in the next bullish cycle for crypto. When the Fed acts, not only prices – but also global capital flows could shift strongly towards digital assets.