Bitcoin Surges on Fed’s 50 Basis Point Cut

Bitcoin surged to around $61,000 following the U.S. Federal Reserve's decision to cut interest rates by 50 basis points, marking the first such reduction in four years. This move was part of a broader economic strategy amid cooling inflation and a slowing labor market, with the Fed projecting further cuts by year-end. The rate cut, which was highly anticipated by market participants, also boosted other cryptocurrencies like Ethereum and led to gains in U.S. equities. Historical data suggests that lower interest rates make riskier assets like cryptocurrencies more attractive to investors. However, some analysts caution that the aggressive rate cut might signal underlying economic weaknesses, potentially leading to short-term market volatility.