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Bitcoin Price Falls for Two Consecutive Days as U.S. Interest Rate Cut Possibility Diminishes

2025/01/09 07:01

Bitcoin Price Falls for Two Consecutive Days as U.S. Interest Rate Cut Possibility Diminishes

The price of Bitcoin continues to decrease, now falling for two consecutive days. This decline is likely linked to the diminishing possibility of a U.S. interest rate cut, as observed by the investment market.

According to CoinMarketCap, a global virtual asset market tracking site, the price of Bitcoin was recorded at $94,727 as of 7:20 a.m. on the 9th. This marks a 2.20% decrease from the previous day.

The price of Ethereum also fell to $3,315, indicating a decrease of 2.03% compared to the previous day.

The stagnation in Bitcoin prices can be attributed to the observation that the likelihood of a U.S. interest rate cut is low. Last month, the minutes from the Federal Open Market Committee (FOMC) were released, revealing that Federal Reserve (Fed) Commissioners expressed concerns about increasing upside risks to inflation. Furthermore, Fed Commissioners anticipated that the tariff policies of a potential Trump administration could have a greater impact on price levels than previously assumed. These factors contribute to the decreasing likelihood of an interest rate cut, which in turn leads to a drop in Bitcoin prices.

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