The recent spike in social chatter about a Fed rate cut has reached an 11-month high and may signal overheated bullish sentiment; Santiment warns that this “Fed rate cut crypto” euphoria could precede a local market top and warrants caution for short-term traders.
Santiment detected an 11-month high in mentions of Fed, rate, cut and Powell
75% of market participants price a September rate cut per CME FedWatch Tool (market-implied probability)
Analysts remain split: some see a bullish liquidity impulse, others warn of short-term pressure and recession risk
Fed rate cut crypto: Santiment flags 11-month high in Fed chatter; learn how traders can react and why caution is advised. Read the analysis now.
Mentions of Federal Reserve-related keywords and the anticipated interest rate cut have reached an 11-month high, according to Santiment.
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The spike in social mentions of a Federal Reserve rate cut signals heightened market euphoria that historically can precede local tops. Santiment reports that mentions tied to the Fed and interest rate cuts have climbed to their highest level in 11 months, suggesting elevated bullish narrative risk for crypto markets.
Fed Chair Jerome Powell’s dovish tone at the Jackson Hole symposium — indicating a possible first rate cut in September 2025 — quickly shifted market sentiment toward greed. Short, concentrated bullish narratives on social platforms amplified optimism and drove a Friday rally across crypto assets.
Santiment cautions that dramatic concentration on a single bullish theme can reflect euphoria rather than broad conviction. The firm notes that such social spikes have historically correlated with short-term tops in risk assets.
Source: https://en.coinotag.com/santiment-fed-rate-cut-mentions-at-11-month-high-could-signal-caution-for-bitcoin-as-analysts-remain-divided/