Expectations of interest rate cuts in June boost the rise of US stocks, gold, and cryptocurrencies.

Federal Reserve Chairman Powell expressed the possibility of further interest rate cuts this year last night, leading to a rise in U.S. stocks and gold hitting another all-time high. Bitcoin broke through its previous all-time high of $69,000 the night before, although it briefly dropped to $59,000, it slowly stabilized yesterday and continued to fluctuate around $66,000. Ethereum showed a more impressive increase yesterday, surging to $3,906 at one point, marking a new high since January 2022.

Powell Says Fed Could Cut Rates at 'Some Point' in 2024

Federal Reserve Chairman Powell testified before Congress on Wednesday, stating that the Fed could cut rates at "some point" in 2024, but will be cautious in assessing whether inflation is cooling appropriately.

Prior inflation data had dampened investor optimism for a rapid rate cut. However, Powell's remarks seem to have reassured the market that a rate cut is inevitable, with the timing being the only question.

According to CME FedWatch data, the market's expectation for a rate cut has been pushed back to June. The next Fed meeting to announce rate decisions will be on March 20, and the market will adjust its expectations for future rate movements based on the Fed's statement and dot plot.

Bitcoin Hits All-Time High, Gold Prices Soar

Bitcoin surged past its previous all-time high of $69,000 the night before, briefly dropping to $59K but slowly stabilizing yesterday around $66K.

Bitcoin breaks new all-time high! Surges and plunges wiping out nearly $1.2 billion

Benefiting from continuous inflows into Bitcoin spot ETFs, the price of Bitcoin has been skyrocketing recently. BlackRock's IBIT saw a record high inflow of $788 million on the US trading day of 3/5. Despite Grayscale's GBTC outflow of $332 million, overall ETF inflows amounted to $648 million.

In addition, gold has been hitting new highs recently due to increased bets on a Fed rate cut in June and heightened safe-haven demand sparked by Middle East conflicts.

Top 10 Cryptocurrencies by Market Cap Performance

Ethereum showed a strong performance yesterday, briefly hitting $3,906, reaching a new high since January 2022.

BNB also rose by 8.2% yesterday. Binance will launch a new round of Launchpool on 3/8 - Aevo AEVO, focusing on Ethereum roll-ups based on OP Stack, a decentralized derivatives trading platform. Binance has been frequently launching Launchpool projects, using BNB and FDUSD for staking to earn new coins, each launch driving up the price of BNB, proving to be an effective marketing strategy.