Key dealers
- Federal Reserve -Governor Waller suggested that several interest rates in 2025 due to promising inflation data.
- Bitcoin rose above $ 99K after better inflation figures than expected, with traders who looked at a breakout over $ 100K and Altcoins gathered strongly.
The Federal Reserve Governor Christopher Waller suggested to cut several interest rates in 2025 If inflation continues its current disinflation trend.
When he spoke on CNBC on Thursday, Waller said: “Inflation data we got yesterday was very good”, with reference to the latest figures that showed a cooling in prisons.
He added that if similar inflation data continues to be reported, it would be reasonable to expect interest rate cuts during the first half of the year, with the possibility of a cut as early as March.
Waller also suggested that future cuts could exceed current market expectations if inflation falls in line with December’s favorable information.
The two-year Treasury, which closely reflects the Federal Reserve Political Changes, fell to 4.25% following Waller’s comments. The markets now expect 40 basic points for interest rate cuts in 2025, up from 34 points earlier.
Waller warned that the cut rate remains data addiction. “If the information does not cooperate, you will be back to two, maybe even one (cut) if we only get a lot of sticky inflation,” he said.
The labor market continues to influence the Fed’s views, with the latest tasks showing stable work growth and lower unemployment at the end of 2024. Waller characterized the labor market as “solid, not flourishing.”
Bitcoin responded positively to Wednesday’s CPI edition and adapted to Waller’s optimistic inflation prospects.
The access surpassed short resistance level of $ 100,000 and has traded between $ 98,000 and $ 100,000 in the last 48 hours, with Bitcoin still struggling to break and hold over the $ 100,000 brand.
This level, a psychological barrier since Bitcoin first reached it in early December, had proven to be difficult to maintain. Earlier this week, Bitcoin fell under $ 90,000, but the better than expected inflation data reintroduced the hike effect and drove the price up again.
Bitcoin’s market dominance has decreased to 57% since Monday. Alternative digital assets have posted profits, where Solana rises 8% and XRP increases by 15% over the past 24 hours.
At the same time, DXY remains on a downward trend but is still higher than levels from one month before Donald Trump’s election victory.
Many people expect DXY to release when Trump will take up, which was observed during his first term after the 2016 election, when it originally rose before declining in 2017.
