The market is almost certain that the Fed will start cutting interest rates this week, with the mainstream prediction being a reduction of 25 basis points, but there are also voices discussing whether they will make a big move and cut directly by 50 basis points! If this happens, it would definitely be a deep-water bomb in the financial world this year๐Ÿ’ฃ.



For me, interest rate cuts are not just changes in the interest rate numbers, but rather a loosening of the liquidity gate. The crypto market, as a field that is highly dependent on capital sentiment and risk appetite, is likely to welcome a new wave of volatility opportunities๐Ÿ“ˆ. In simple terms: money has become cheaper, and risk assets are more "attractive".

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๐Ÿ” My view on the extent of this interest rate cut:

I believe that 25 basis points remains the baseline scenario, but we must be wary of a "hawkish rate cut"โ€”that is, a rate cut accompanied by cautious statements. If there is an unexpected cut of 50 basis points, it would be a clear signal of easing and could ignite the market instantly.

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โ‚ฟ Prediction of the short-term impact of interest rate cuts on cryptocurrencies:

ยท Bitcoin (BTC): High probability of a short-term upward breakout. With liquidity expectations and dual attributes of hedging and speculation, below $60,000 might be a good layout position.
ยท Ethereum (ETH): Following BTC closely, but more strongly dependent on overall market sentiment and the subsequent developments of the Ethereum ETF.
ยท Altcoins: The differentiation will intensify. Mainstream altcoins (such as SOL, AVAX) may rebound quickly, but lower market cap coins still need to be cautious of volatility risks.

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๐Ÿ“… Historical Context: Will this be the starting point of a new market trend?

Looking back at the interest rate cut cycle in 2019, Bitcoin rose over 25% within three months after the rate cut. However, it is important to note that the macro environment has changed: there is an election year now, and inflation has not yet completely cooled down.
I believe this rate cut could be an important catalyst, but it may not necessarily be the "starting point for a surge." More attention should be paid to the Fed's subsequent rhetoric and economic data supporting the medium to long-term trends of Bitcoin and Ethereum.

#็พŽ่”ๅ‚จ้™ๆฏ้ข„ๆœŸๅ‡ๆธฉ# #Gateๅนฟๅœบๅˆ›ไฝœ็‚นไบฎไธญ็ง‹#
BTC-2.74%
ETH-6.6%
SOL-7.69%
AVAX-3.66%
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ManagerZhengvip
ยท 09-16 13:30
Hold on tight, we are about to To da moon ๐Ÿ›ซ
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TaiShuaiLavip
ยท 09-15 11:02
Steadfast HODL๐Ÿ’Ž
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