Analyst: Fed's reduction of interest rate in 2025 will not hinder alternative assets such as Cryptocurrency pump

PANews reported on December 28 that the Federal Reserve implemented its third interest rate cut this year this month and hinted at fewer rate cuts in 2025 due to the uncertain inflation outlook, which disappointed investors who expected the rate cut to boost the company’s profits and valuations, leading to a stock market boom. However, this may not hinder the pump of alternative assets such as cryptocurrency. Damon Polistina, head of research at investment platform Eaglebrook Advisors, said the incoming pro-cryptocurrency Trump administration is adding a number of catalysts that are boosting investor confidence in cryptocurrency. This month, the price of BTC surged above $107,000, fueled by Trump’s friendlier policies. Damon Polistina added, "Cryptocurrency is widely seen as a risky asset. Therefore, it is positive for the Fed to cut interest rates… Any positive economic data from early January next year will help maintain the momentum we are seeing. ”