Federal Reserve Signals Potential Rate Cuts; Crypto Markets React

U.S. Treasury Secretary Janet Yellen indicates Federal Reserve officials are considering interest rate cuts, according to a statement from October 2025, impacting cryptocurrency markets.

Potential rate cuts could boost crypto investments, influencing Bitcoin and Ethereum positively, with major exchanges seeing increased staking activities.

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U.S. Treasury Secretary Janet Yellen hinted at possible interest rate reductions amid economic resilience. Janet Yellen emphasized the U.S. economy’s durability and ongoing monitoring of conditions by the Federal Reserve, which may lead to a rate cut in the near term.

If enacted, these measures could support continued economic growth, according to Yellen. Jerome Powell and other Federal Reserve officials have noted a shift in the balance of risks, suggesting a potential move towards a neutral policy stance.

The U.S. economy continues to show resilience, and the Federal Reserve is closely monitoring labor market conditions and inflation. If the current trajectory persists, a rate cut could be appropriate in the coming months to support continued growth. Source

Figures like Arthur Hayes and CZ are optimistic about the impact on crypto markets, predicting greater asset inflow due to expected rate decreases. This dovish change from key officials has already led to increased crypto activities, as evidenced by rising trading and staking volumes.

Market Movements and DeFi Outlook Amid Rate Speculations

Did you know? A similar shift towards lower rates in 2020 fueled a significant Bitcoin (BTC) rally, with the asset’s price increasing 300% within a year.

As of November 26, 2025, Bitcoin (BTC) is priced at $87,901.70 with a market cap of $1.75 trillion. Recent trends show a 0.15% price rise in 24 hours despite a 23.77% drop over the past month. Source: CoinMarketCap

Coincu’s research team notes that the Federal Reserve’s potential rate cuts could accelerate the adoption of DeFi as traditional yields decrease. ETH’s ecosystem, in particular, is well-positioned to benefit from such monetary policy shifts, increasing its attractiveness to investors.