After this rate cut, whether the crypto market will repeat its historical trend remains to be seen.

The Fed adopted a combination of "dovish rate cut + dovish dot plot + hawkish speech" this time, in which the rate cut exceeded the market's expectation of 25 basis points to 50 basis points. At the press conference, Powell clarified that a sharp rate cut does not mean that the US economy will fall into recession or the job market will collapse. On the contrary, the rate cut is seen as a preventive measure to ensure the stability of the economy and the job market.

The market generally expects that interest rates will continue to fall at the November and December meetings, and there is still 70 basis points of room for rate cuts this year. At the same time, the dot plot shows that there may be another 50 basis points of rate cuts this year. The long-term benefits of rate cuts to risky assets are obvious. Although the short-term effects may not be obvious, as the policy continues, market liquidity will gradually flow from traditional fields such as bonds and banks to emerging markets such as stocks and cryptocurrencies.

In addition, the US presidential election will be held in early November, and the election results may trigger short-term fluctuations in the cryptocurrency market. After the election dust settles, funds on the sidelines may begin to flow into the cryptocurrency market.

The start of a rate cut cycle may provide continued support for risky asset markets, especially the crypto market, but historical experience shows that short-term market performance is often complex and unpredictable.