Interest rates at 0.25 for those in the know already know what it means. 📈
CryptoFrancoARG
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Bullish
📉 Powell cuts rates by 0.25%: what does it mean for the crypto market? 📈
The Federal Reserve of the U.S. announced a cut of 0.25 points in interest rates, the first since December, and anticipates two more cuts before the end of the year.
🔹 Why is it important? Interest rates are one of the most influential variables for all markets, including cryptocurrencies. When the Fed lowers rates: • Credit becomes cheaper ➝ more liquidity in the economy. • Investors take on more risk ➝ assets like stocks and cryptos benefit. • The dollar weakens ➝ $BTC Bitcoin and other cryptos tend to benefit.
🔹 The political factor The movement does not occur in a vacuum: the news was marked by internal political pressure, especially from Trump’s circle, which seeks lower rates to stimulate the economy during the electoral campaign.
🔹 Impact on crypto 1. Short term: more volatility, as the market adjusts expectations. 2. Medium term: the increase in liquidity and the drop in dollar yield may boost Bitcoin and altcoins ($SOL and $XRP ) 3. Long term: if the Fed follows through with new cuts, the scenario could become a bullish catalyst for the crypto ecosystem.
✅ Conclusion: The rate cut is not only an economic move, it also has a strong political background. But for crypto investors, the message is clear: liquidity is returning, and risk assets like Bitcoin could be major beneficiaries.
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