The Federal Reserve announced a 25 basis point cut to the benchmark interest rate in its latest rate decision, but the downward revision of the expected number of rate cuts in 2025 reshaped market sentiment. Powell emphasized that the policy has entered a "new phase," leading to a simultaneous plunge in U.S. stocks and the crypto market, with Bitcoin dropping nearly 5% within 24 hours, hitting a low of $100,256. The Federal Reserve's negative stance on strategic Bitcoin reserves further dampens market sentiment, contrasting sharply with Trump's strategy to establish Bitcoin reserves.
Despite this, on-chain data shows that BTC supply tightness is increasing, and exchange balances continue to decline. There is a chance for a rebound within the next 48 hours!