Fed Rate Cuts: History Shows Mixed Market Reactions, Not Always a Crash š„
The recent 50 basis point (bps) rate
#cut by the Federal Reserve has sparked concerns about a potential market crash, particularly in stocks and crypto.
While many believe that large rate cuts often lead to
#recessions , historical data shows otherwise. In 1984 and 1987, similar cuts led to market pumps, while in 2001 and 2007, they resulted in market dumps.
The likelihood of a recession now is low, given strong
#GDP , falling inflation, and rising global liquidity. A crypto bull run could precede the next recession, with Bitcoin potentially reaching $150,000 and altcoins surging 20x to 100x.
Do you agree? Leave your thoughts below šš»
If you enjoy my content, feel free to tip me ā¤ļø
#Binance #crypto2024