Fed Rate Cuts Could Spark Major BTC & Altcoin Rally
Economist predicts rapid Fed cuts may push Bitcoin and altcoins higher, with two more cuts expected this year.
- Economist sees Fed rate cuts as bullish for crypto
- At least two more cuts are expected in 2025
- Lower rates could trigger a sharp BTC and altcoin rally
A top economist has raised the alarm—though in a good way—for crypto investors. According to the analyst, if the Federal Reserve accelerates its interest rate cuts, it could “jolt Bitcoin and altcoins up substantially.” This is welcome news for a market that’s been searching for a new catalyst, especially after a relatively flat summer.
So far, the Fed has hinted at being cautious, but market expectations are shifting fast. Many experts now anticipate at least two more rate cuts before the end of 2025. If these cuts come quickly, it could have a significant impact on risk assets—crypto included.
Lower interest rates tend to weaken the U.S. dollar and make traditional investments like bonds less attractive. This often drives investors toward alternative assets like Bitcoin (BTC) and altcoins, which are seen as higher-risk, higher-reward opportunities.
Why Bitcoin and Altcoins Could Surge
The reasoning is simple: When borrowing becomes cheaper, liquidity flows into the market. More money moving around means greater potential for speculative assets like cryptocurrencies to soar.
Historically, crypto markets have shown strong positive reactions to dovish Fed policies. In previous cycles, rate cuts were often followed by bullish momentum in Bitcoin and the broader crypto space.
If the Fed follows through with rapid rate reductions, the crypto market could be set for a major breakout, particularly with Bitcoin already hovering near key technical levels.
Keep an Eye on the Fed
For crypto traders, the Federal Reserve’s next moves might be more important than any upcoming blockchain upgrade or ETF news. Two or more cuts in the coming months could create a wave of fresh capital that lifts BTC and alts to new highs.
As always, timing is key—but the message is clear: macro moves matter, and crypto could be one of the biggest beneficiaries.
Read Also :
- Ethereum Whales Accumulate ETH at Record Speed
- The Labubu Chain pre-sale, which was launched just a few days ago, has raised over $300k and continues to gain momentum.
- Fed Rate Cuts Could Spark Major BTC & Altcoin Rally
- Michael Saylor Predicts Bitcoin’s Digital Gold Rush Decade
- Bitcoin Holds Strong: 135 Days Above $100K
