Fed Rate Cuts Are Here: How Experts Believe Bitcoin and Altcoins Will React

The Fed just slashed rates—and crypto markets are already buzzing. Traders are scrambling to position themselves for what could be the next big leg up.

Bitcoin Leads the Charge

Expect Bitcoin to act as the primary beneficiary. Lower interest rates weaken the dollar and push investors toward hard assets—especially decentralized ones. Institutional money won’t sit this one out.

Altcoins Catch the Wave

Ethereum, Solana, and other major altcoins tend to rally when Bitcoin stabilizes or climbs. Watch for leveraged longs and a surge in DeFi activity as yield-seeking accelerates.

But Not All Sunshine

Traditional finance pundits—still clutching their spreadsheets—will warn about volatility and “speculative excess.” As if the last decade of quantitative easing was a model of restraint.

Bottom line: lower rates mean higher risk appetite. And crypto’s ready for the spotlight—again.

Fed’s decision could trigger altcoin rotation

According to Arthur Azizov, founder at B2 Ventures, the reaction to the Fed could boost Bitcoin and altcoins or lead to a “sell the news” scenario. The latter alternative is particularly likely if markets see the Fed’s decision as not dovish enough.

“Altcoins are even more sensitive. Solana, now above $230, looks strong but faces heavy resistance near $240-250, while XRP is defending the $2.90-$3.00 zone. The problem is liquidity: unless fresh inflows arrive, traders tend to rotate back into bitcoin during uncertainty,” Arthur Azizov, B2 Ventures