Recent comments from Federal Reserve Chair Jerome Powell have shaken sentiment in the digital asset space, with most altcoins experiencing a significant decline over the past 24 hours. Bitcoin ($BTC ) fell to a price level of $100,000, retreating from a daily high of $105,302.37.

According to blockchain analytics platform Santiment, cryptocurrency and stock markets negatively reacted to the Federal Open Market Committee (FOMC) rate cuts. However, the concern arises not from the current cuts, but from Powell's statement that there will only be half the expected number of rate cuts in 2025.

Lower interest rates are generally seen as optimistic for digital assets, as traditional investment opportunities tend to lose their appeal. High-volatility assets like Bitcoin often attract investors in such scenarios due to their higher potential returns. However, Powell's 'hawkish' stance contrasted with market expectations, triggering mass sell-offs.$ETH $USUAL #2024withBinance