Fed Governor Waller Supports December Rate Cut Amid Labor Concerns

Federal Reserve Governor Christopher Waller announced his support for a 25 basis point rate cut in December during a speech in London, highlighting concerns over a slowing labor market.

Potential rate cuts could lower borrowing costs, benefiting risk assets including cryptocurrencies, as institutional portfolios may shift towards sectors like technology and digital currencies.

Historical Impact of Rate Cuts on Cryptocurrency Prices

Waller has pointed to persistent labor market weakness and highlighted the need for another rate cut as a policy response. His stance focuses on data showing a sharp labor slowdown, and he dismisses inflation risks in his projections.

The proposed rate cut could ease borrowing costs, supporting growth sectors and tech while potentially alleviating financial pressure on consumers. Cryptocurrencies might benefit due to increased risk appetite and reduced credit barriers.

“With core inflation nearing the Fed’s target and evidence of a weakening labor market, I support a 0.25 percentage point additional cut in the benchmark rate at the December FOMC meeting.” — Christopher Waller, Federal Reserve Governor, in London speech

Market Data and Trends

Did you know? Rate cuts from the Fed historically lead to increased market activity in risk assets, including cryptocurrency, as seen during past easing cycles in late 2019 and early 2020.

As of November 18, 2025, Bitcoin (BTC) is priced at $92,174.95 with a market cap of $1.84 trillion. BTC’s 24-hour trading volume fluctuates at $93.79 billion, though recent trends show a 2.16% decline, according to CoinMarketCap. The circulating supply remains at 19,950,196.

Coincu research highlights that a Federal rate cut could stimulate investor interest in traditional and digital financial markets. Historical patterns indicate that such announcements have driven growth in DeFi and Layer 1 tokens. Lower rates may encourage increased activity in these assets, reflecting broader market shifts.