It is a very good thing that the rates were cut by 25 basis points but the real question is Where is that bullish momentum everyone was talking about?
Everyone was saying that after the rate cut the market will become very fast. Even I claimed that after the rate cut Bitcoin will immediately go to 100K.
But nothing like that happened. Surely the FED rate cut is good news and in the long term it will have a positive effect on the market. But in the short term there is no effect in fact Bitcoin has come down from $93K to $90K.
Where is the altcoin season?
Actually the rate cut happened but Jerome dropped another bombshell and that is that the FED is about to buy $40B in treasury bills.
This is not how the central bank normally behaves. Liquidity is not coming into crypto in the very short term.
And the second important reason why the market reacted badly even after good news is that this was sell the news. People started selling as soon as the news came. It was profit taking time.
Because it was confirmed earlier that rates would be cut, whales had already started buying and when the news came they sold and because of that the price went down.
Did you sell at this news? If you did you must have made good profit.
Will be glad to see your answers in the comment section.
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