U.S. Fed Cuts Rates Amid Internal Dissent, Crypto Markets Watch Closely
The Federal Reserve lowered its benchmark interest rate by 25 basis points to 3.50%-3.75%, marking the third consecutive cut this year. The move, widely anticipated by markets, reflects growing economic uncertainty but exposed sharp divisions within the central bank.
Two regional Fed presidents dissented, advocating for unchanged rates, while one governor pushed for deeper cuts. This policy rift emerges as inflation projections see minor revisions and growth forecasts edge downward.
Cryptocurrency traders are monitoring the implications of looser monetary policy, which historically correlates with increased risk appetite. Bitcoin and other digital assets often benefit from lower interest rate environments as investors seek alternative stores of value.
