The Federal Reserve cut rates by 25 basis points as the market expected, indicating a smaller future rate cut. Major U.S. stock indices plummeted, and bond yields surged. Cryptocurrency is in distress, with Bitcoin crashing to a low of $100,303. Ethereum dropped to a low of $3,650, and total liquidations across the network reached $668 million.
The Federal Reserve cut rates by 25 basis points, but the pace may slow in the future.
The Federal Reserve lowered the interest rate by 25 basis points as the market expected, bringing the overnight borrowing rate down to a target range of 4.25%-4.5%. This marks the third consecutive rate cut, but the released dot plot indicates that there may only be two more cuts by 2025, which is half of what was projected in the September update.
Chairman Jerome Powell stated at the post-meeting news conference: "Through today's action, we have lowered the policy rate by a full percentage point from its peak, and our policy stance is now clearly less restrictive. Therefore, when considering further adjustments to the policy rate, we can be more cautious."
Bitcoin plunged above $100,000, with total liquidations across the network reaching $668 million.
Cryptocurrency is in distress. Bitcoin plummeted, reaching a low of $100,303. Ethereum dropped to a low of $3,650.
According to Coinglass data, the forced liquidation of Bitcoin in the past 24 hours reached $120 million, while Ethereum was $98.64 million, and the total liquidation across the network reached $668 million.
This article asks: Will the U.S. only cut rates by 50 basis points next year? Bitcoin is close to $100K, and a massive sell-off is occurring in U.S. stocks and cryptocurrencies. First appeared in Chain News ABMedia.
