0.25 or 0.5 percent reduction in the interest rate of the Federal Reserve; Which one is better for the market?
According to experts, the reduction in ierest rates will increase liquidity, weaken the dollar and increase demand for alternative assets such as Bitcoin and Ethereum. In fact, in rece years, Bitcoin has been more promine as a hedge against the decline in the value of fiat currencies.
In the eve of a 0.25% reduction, the market will likely witness mild growth, but the decision to reduce the ierest rate by 0.5% can cause a rapid influx of capital and an explosion of prices in the market; However, such a move may increase concerns about the weakness of the US economy. In general, the market is more depende on monetary decisions than ever before.
Analysts also believe that the 4-year cycle of Bitcoin is no longer effective, and now global liquidity is the main factor in the formation of major market trends. If the Federal Reserve coinues the path of monetary easing, many believe that Bitcoin’s next peak will be in 2026.
