- Kevin Hassett recommending Fed rate cuts, economic implications, crypto market impact.
- Fed actions likely to influence crypto and equity markets.
- Potential volatility in crypto investments as economic policy shifts.
Kevin Hassett, former White House National Economic Council Director, advocated cautious Fed rate cuts amid anticipated economic disruptions on December 5th, reported BlockBeats News.
Hassett’s remarks could influence cryptocurrency markets by affecting dollar liquidity and investor risk appetite. Historically, rate cut expectations buoy risk assets like BTC and ETH.
Hassett Advocates Rate Cuts as Shutdown Looms
The timing and substance of Hassett’s statements highlight concerns about macroeconomic stability, with potential ramifications for financial and digital assets. Cautious rate cuts could herald a shift in fiscal strategy, sparking fluctuations across various markets, including equities and cryptocurrencies. Analysts suggest these developments might strengthen risk sentiment in the absence of shock-inducing shutdowns or tariff upheavals.
Crypto market responses remain mixed. While rising expectations of lower yields often support asset prices like Bitcoin and Ethereum, warnings of economic disruptions can fuel volatility. Financial commentators observe mixed reactions, with some investors expecting favorable liquidity conditions, while others foresee challenges overshadowing potential benefits.
Bitcoin and Ethereum Prices React to Rate Cut Speculation
Did you know? During economic uncertainty, digital assets like Bitcoin have often reacted sharply to Federal Reserve policy shifts, influencing global trading strategies.
According to CoinMarketCap, Bitcoin (BTC) stands at $90,812.81, with a market cap of $1.81 trillion. Its dominance is 58.50%, and recent price changes include a 90-day drop by 18.09%. The 24-hour trading volume reached $57.78 billion, reflecting a 17.79% decrease. Circulating supply is approximately 19,957,806 against a max supply of 21 million, last updated at 13:30 UTC on December 5, 2025. The Coincu research team notes that ongoing adjustments in U.S. fiscal strategies may induce significant shifts in the cryptocurrency landscape. Historical precedents underscore decreased real yields as beneficial for Bitcoin and Ethereum prices, a trend likely to persist amid current policymaker guidance.
Bitcoin(BTC), daily chart, screenshot on CoinMarketCap at 13:30 UTC on December 5, 2025. Source: CoinMarketCapFinancial commentators observe mixed reactions, with some investors expecting favorable liquidity conditions, while others foresee challenges overshadowing potential benefits.
| DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing. |
Source: https://coincu.com/markets/hassett-suggests-fed-rate-cut/
