On Wednesday, the Federal Reserve (Fed) announced its decision to lower interest rates by 50 basis points, marking its first cut since March 2020 and indicating a shift in monetary policy.
Fed's Decision
The Federal Reserve announced its decision to lower interest rates by 50 basis points, its first reduction since March 2020, signaling a significant shift in its monetary policy approach.
Jerome Powell's Comments
Fed Chair Jerome Powell stated at a news conference that this significant move aims to limit the likelihood of an economic downturn while the U.S. economy remains strong.
Crypto Market Reaction
Bitcoin rose to a three-week high, accompanied by a surge in U.S. equities futures, as the Federal Reserve's interest rate cut rippled through markets. At the time of writing, BTC was up 4.31% over the last 24 hours to $62,336 and up 8% weekly. Ethereum (ETH), Solana (SOL), Cardano (ADA), and Shiba Inu (SHIB) increased by 5% to 8% in the last 24 hours. SUI, TAO, Dogwifhat (WIF), Celestia (TIA), SEI, and FLOKI recorded gains ranging from 10% to 24%.
Despite Jerome Powell's cautious tone about the Fed's future actions, the crypto market continues to show optimism, reflected in the significant price increases of major cryptocurrencies.
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