Trump's call for interest rate cuts has attracted attention in the Crypto Assets market, and the price of Bitcoin may usher in a new round of pump.

The interest rate cut policy will inject vitality into the market.

The core logic of the interest rate cut strategy is to reduce financing costs, stimulate corporate investment and consumer spending, while alleviating the government debt burden. If the Federal Reserve adopts this suggestion, the increase in market liquidity may lead some funds to flow into high-risk assets such as Bitcoin. Historical data shows that when the Federal Reserve implemented an accommodative monetary policy in 2020, the price of Bitcoin rose from $5000 to $65000. Currently, the price of Bitcoin hovers around $106000, and a rate cut may become a catalyst for it to break through the current price range.

The weakening of the dollar may boost Bitcoin.

Interest rate cuts usually weaken the strength of the dollar, and Bitcoin's positioning as "digital gold" makes it an inflation hedge asset. Currently, inflation pressure in the United States has temporarily eased, but potential tariff policies could drive up price levels in the future. If expectations of dollar depreciation increase, investors may be more inclined to choose Bitcoin as a safe-haven tool, especially in the context where institutional funds are supported by ETFs entering the market.

Market expectations have reflected the possibility of interest rate cuts.

Although the possibility of a rate cut in June is nearly zero, traders predict that the probability of a rate cut in September has reached 75%. Trump's statements may further enhance market sensitivity. Bitcoin is expected to test the $110,000 mark in the short term, but if the Federal Reserve maintains a firm stance, the price may fall back to the $103,000 support level. On-chain data shows that large holders are frequently active, which may indicate that a significant market fluctuation is imminent.

Be wary of potential risks.

The policy differences between Trump and Federal Reserve Chairman Powell are evident, with the latter likely to uphold central bank independence and resist pressure to cut interest rates. Additionally, a rate cut could fuel asset bubbles, provoking opposition within the Federal Reserve. If inflation data unexpectedly rebounds, or if tariff policies lead to sharp price increases, the Federal Reserve may be forced to tighten policies, which would put pressure on Bitcoin prices.

The market environment is changing rapidly, and investors need to closely follow various economic indicators and policy signals to seize appropriate investment opportunities.