10x Research: Not every drop presents a buying opportunity; interest rates may remain elevated for an extended period in the coming years.

ChainCatcher message, 10x Research reports that not every drop presents a buying opportunity.

While we expect a slightly hawkish tone from Fed Chair Powell, the Fed's updated median interest rate forecast has unsettled the market, indicating rate hikes not only in 2025 but also in 2026 and 2027. Powell hinted that it may take 1-2 years to return to the 2% inflation target, further reinforcing hawkish sentiment. The predictions for the following years are shocking, suggesting that interest rates may remain elevated for an extended period.

Stocks fell by 3%, and Bitcoin dropped by 4%. Due to a lack of retail trading activity, altcoins have struggled, suffering even greater losses, with many altcoins plummeting by 10% or more. While the impact of Trump's policies remains speculative, weak demand from European economies and China may suppress global growth (and inflation). Meanwhile, a stronger dollar could pressure corporate earnings for U.S. companies.