The Federal Reserve's interest rate cut in September is basically a done deal! The crypto market may face new variables!
The latest data shows that the probability of a 25 basis point rate cut by the Federal Reserve in September has reached 87.3%. Unless a black swan event occurs, a rate cut is almost certain.
Powell's previous delay strategy has preserved his reputation; even if inflation rebounds later, personal responsibility is diluted. The key point is that the U.S. economy has shown signs of contraction, and the risks of continuing to stubbornly maintain high interest rates outweigh the benefits, making a cautious decision to lower rates an inevitable choice.
Personal opinion: This rate cut is not a matter of "whether or not to choose," but rather "a must do!" Economic data has already raised red flags, and the Federal Reserve must inject liquidity into the market.
For the crypto market, a rate cut may increase risk appetite, but one must be wary of the risk of a pullback "after the good news lands."
In the short term, mainstream coins like BTC may surge on this momentum, but do not blindly chase the rally; the release of liquidity takes time. It is more prudent to observe market reactions before taking action!
