Crypto Rally Likely as Fed Rate Cuts Expected to Boost Bitcoin Beyond $112K

The recent trends in cryptocurrency markets, especially Bitcoin, indicate a recovery after a brief dip below $100K following its peak of over $112K on May 22. Analyst Carlo Pruscino from CMC Markets suggests that a potential Federal Reserve rate cut could propel Bitcoin back to, or even beyond, $112K. This expectation aligns with ongoing discussions about possible rate reductions, which traders anticipate could happen as early as mid-September if conditions favor such a move. Trump's vocal criticism of the Fed's abstention from rate cuts and the current stable borrowing rate around 4.25%-4.50% underscore a political push for more monetary easing. The market currently perceives a high probability (97.5%) that rates will hold steady at the upcoming Fed meeting, but a significant portion of traders (over 51%) expect a cut by September. Such a move would likely have a bullish effect on Bitcoin. In anticipation of this, the analysis highlights specific cryptocurrencies, including BTC Bull Token ($BTCBULL), which rewards holders with free Bitcoin when certain price milestones are achieved, and Solaxy ($SOLX), a promising project aiming to resolve Solana's scalability issues and potentially spike in value. Overall, the market sentiment appears optimistic about the potential for geopolitical influences and macroeconomic policy shifts to support higher crypto valuations, especially Bitcoin, with strategic altcoins like $BTCBULL and $SOLX positioned for growth.