Bitcoin Rises After Fed Rate Cut as Weekly Gains Build

Bitcoin edged higher on Friday, moving toward a weekly gain as investors digested the U.S. Federal Reserve’s latest 25 bps rate cut and its cautious economic outlook. The world’s largest cryptocurrency traded 2.5% higher at $92,399, marking a partial recovery after recent losses.

The Fed delivered its third rate cut of the year, but signaled a slower path of easing ahead creating mixed sentiment in risk markets. Bitcoin has been stuck in a narrow trading band throughout December despite a softer rate environment.

Bitcoin remained within the $88,000–$93,000 range that has dominated December performance, showing limited breakout momentum even after supportive Fed signals. Analysts noted that while rate cuts usually boost digital asset demand, this time the Fed’s tone “fell short of the dovish shift traders were expecting,” reducing the impact on crypto markets.

Lingering macro uncertainty including the Fed’s projection of slower growth and internal policy divisions has further weighed on market sentiment. Despite this, Bitcoin is still set for a 3% weekly rise, rebounding modestly from its earlier November slump.

The muted reaction stands in contrast to previous easing cycles, which often triggered stronger rallies across digital assets.

ALTCOINS ALSO EDGE HIGHER

Other major cryptocurrencies followed Bitcoin’s uptick.
Ethereum gained 1.7% to $3,244, while XRP also rose 1.7%. Solana jumped over 6%, Cardano climbed 2.3%, and meme tokens like Dogecoin and TRUMP Coin also posted gains, reflecting a broader though cautious market improvement.

Analysts say overall sentiment remains watchful as traders await clearer macro signals and stronger buying momentum.