Fed Rate Cut Odds Soar Following Powell Speech, Impacting Crypto Markets

Jerome Powell’s recent speech has led to a significant surge in the probability of a 25 basis point Federal Reserve rate cut in September, according to CME FedWatch Tool data. This shift has sent shockwaves through financial markets and may have ramifications for cryptocurrencies such as Bitcoin and Ethereum. The market is increasingly anticipating reduced yields and an influx of liquidity into riskier assets. The potential impact on crypto remains speculative but the possibility of a rate cut has fueled excitement in the digital asset space.