Recent rumors concerning the Federal Reserve's rate cut were tied to a nonexistent official, leading to temporary volatility in the crypto market. We will examine how these unverified claims impacted the market.
Mistaken Information about Treasury Official
Reports attributing a statement about a 50-basis-point Fed rate cut to U.S. Treasury Secretary Benson turned out to be false. As of now, official sources do not confirm the existence of this individual or any related statements.
Crypto Market and Its Responses
The cryptocurrency market, including assets like Ethereum and Bitcoin, reacted strongly to the false rumors. However, as investors began to disregard this information, volatility in Ethereum was found to stem from technical factors rather than the speculated Fed announcement. Attention has shifted back to changes in the Federal Reserve's leadership.
Volatility Stories in Crypto Market
Unverified rumors can briefly sway the crypto market, but confirmed actions typically drive more sustained impacts. As of August 13, 2025, Ethereum (ETH) is priced at $4,686.18 with a market capitalization of $565.66 billion. In the last 90 days, ETH has seen an increase of 83.51%, underscoring significant investor interest.
The false rumors about the Fed rate cut highlight how information, even if untrue, can temporarily affect financial markets. Investors need to be alert and rely on verified sources.
