The Federal Reserve rate cut is a 0.25% reduction to the federal funds rate, now 4.00%–4.25%, aimed at easing monetary conditions after weak jobs data and rising inflation; Bitcoin and other crypto showed muted moves immediately after the decision.
Fed cut 0.25% to 4.00%–4.25%
Bitcoin held just above $116,000 while Ethereum traded near $4,501 after the announcement.
Jobs data revised down by 911,000 and inflation at 2.9% influenced the decision.
Federal Reserve rate cut trims the federal funds rate to 4.00%–4.25%; read concise crypto market reaction and implications for Bitcoin and Ethereum now.
What is the Federal Reserve rate cut?
The Federal Reserve rate cut is a 0.25 percentage point reduction to the federal funds target range, lowering it to 4.00%–4.25%. The move responds to weaker jobs data and moderating price pressures while aiming to support economic growth without abandoning the inflation mandate.
How did markets react to the Fed rate cut?
Crypto and risk assets showed muted immediate reaction. Bitcoin traded just above $116,000, up about 0.2% over the prior hour, while Ethereum was near $4,501.
‘,
‘
🚀 Advanced Trading Tools Await You!
Maximize your potential. Join now and start trading!
‘,
‘
📈 Professional Trading Platform
Leverage advanced tools and a wide range of coins to boost your investments. Sign up now!
‘
];
var adplace = document.getElementById(“ads-bitget”);
if (adplace) {
var sessperindex = parseInt(sessionStorage.getItem(“adsindexBitget”));
var adsindex = isNaN(sessperindex) ? Math.floor(Math.random() * adscodesBitget.length) : sessperindex;
adplace.innerHTML = adscodesBitget[adsindex];
sessperindex = adsindex === adscodesBitget.length – 1 ? 0 : adsindex + 1;
sessionStorage.setItem(“adsindexBitget”, sessperindex);
}
})();
Traditional safe havens moved higher; gold reached record levels above $3,730 as investors balanced growth hopes with inflation persistence (2.9% annually).
Why did the Fed cut rates now?
The Fed cited a downward revision in U.S. jobs data — a net 911,000 fewer jobs than earlier reported for a year-long period ending in March — and other signs of economic softening. These data, alongside current inflation readings above 2%, prompted a cautious easing move.
| Asset | Price (approx.) | Immediate reaction |
|---|---|---|
| Bitcoin | $116,000 | Flat to +0.2% |
| Ethereum | $4,501 | Flat |
| Gold | $3,730+ | Record high, +10% month |
| Federal funds | 4.00%–4.25% | Cut −0.25% |
How will the Fed rate cut affect crypto investors?
Lower interest rates can boost risk appetite over time, but immediate reactions depend on forward guidance and macro uncertainty. Expect volatility as investors parse Fed commentary for signals on the pace of future cuts.
Market signals before the decision showed high probability of a cut, yet geopolitical and policy disputes can mute the classic risk-on response.
‘,
‘
🔒 Secure and Fast Transactions
Diversify your investments with a wide range of coins. Join now!
‘,
‘
💎 The Easiest Way to Invest in Crypto
Dont wait to get started. Click now and discover the advantages!
‘
];
var adplace = document.getElementById(“ads-binance”);
if (adplace) {
var sessperindex = parseInt(sessionStorage.getItem(“adsindexBinance”));
var adsindex = isNaN(sessperindex) ? Math.floor(Math.random() * adscodesBinance.length) : sessperindex;
adplace.innerHTML = adscodesBinance[adsindex];
sessperindex = adsindex === adscodesBinance.length – 1 ? 0 : adsindex + 1;
sessionStorage.setItem(“adsindexBinance”, sessperindex);
}
})();
The Federal Reserve reduced the federal funds rate by 0.25 percentage points to a target range of 4.00%–4.25% in response to weaker employment revisions and other economic indicators.
Future cuts depend on incoming inflation and employment data. Fed commentary and data releases will determine if a new easing cycle begins or if policymakers await more evidence of softening.
The Federal Reserve rate cut to 4.00%–4.25% offers modest easing aimed at supporting growth after disappointing jobs revisions and persistent inflation. Crypto investors should monitor Fed commentary, employment reports, and inflation prints to gauge the pace of any further easing and the likely market impact.
‘
];
var adplace = document.getElementById(“ads-htx”);
if (adplace) {
var sessperindex = parseInt(sessionStorage.getItem(“adsindexHtx”));
var adsindex = isNaN(sessperindex) ? Math.floor(Math.random() * adscodesHtx.length) : sessperindex;
adplace.innerHTML = adscodesHtx[adsindex];
sessperindex = adsindex === adscodesHtx.length – 1 ? 0 : adsindex + 1;
sessionStorage.setItem(“adsindexHtx”, sessperindex);
}
})();