$BTC FOMC and rate cuts all you need to know.
With today’s FOMC likely discussing rate cuts, remember the bigger picture: long-term yields (US10Y) may still stay elevated if inflation, wages, and government borrowing remain sticky. Even if short-term cuts come, long yields rising can keep pressure on housing, risk assets, and the overall economy the real danger starts when the economy rolls over, not when rates cut.
Let me breakdown 2 scenarios for you
If the Fed cuts rates today, BTC and Gold can see a clean short-term pump as liquidity expectations rise, though the strength of the move will still depend on whether long-term yields stay elevated. But if the Fed doesn’t cut, a short-term dip is likely, and since BTC’s higher time frame structure is still unchanged and bearish, it can trigger a deeper selling correction in line with the broader trend. Even then, medium to long term the macro environment of rising long yields and recession risk still supports bullish cycles for hard assets like Gold and BTC.
Always remember one thing, markets always complete their structure first before a major trend reversal.
