#MarketRebound
On December 18, the US Federal Reserve cut its benchmark interest rate by 25 basis points. Fed Chairman Jerome Powell said the pace of rate cuts would slow in 2025. The move coincided with a correction in the cryptocurrency market, dampening investor optimism about Bitcoin’s rise through the end of the year.
Powell also rejected President-elect Donald Trump’s proposal to create a national reserve in Bitcoin. This further dampened expectations of institutional support for cryptocurrencies.
Risks and volatility at the end of the year
The largest-ever cryptocurrency options expiration (over $14 billion) is expected on December 27, which could lead to high volatility. Market participants are actively hedging risks in the price range of $90-100 thousand for #BTC
Despite short-term volatility, institutional interest makes Bitcoin a promising asset. Investors are closely monitoring the market, waiting for opportunities for profitable purchases.