The Federal Reserve cut interest rates by 0.25%, citing weaker economic data, while Bitcoin and Ethereum traded flat as markets had largely priced in the widely expected decision.
The U.S. Federal Reserve lowered the federal funds rate by 0.25% to a range of 4%–4.25% after revising job creation figures downward by 911,000 and noting other economic concerns. Inflation remains elevated at 2.9%, above the Fed’s 2% target. Bitcoin traded just above $116,000, up 0.2%, and Ethereum held at $4,501. Analysts believe the rate cut was already priced in, with attention now shifting to Fed Chair Jerome Powell’s remarks. Political tensions also surrounded the decision, with President Trump pressuring the Fed for more cuts and controversies over Fed governor appointments. Gold surged to a record above $3,730, reflecting broader market uncertainty.