Bitcoin and Ethereum prices fluctuated after the Federal Reserve cut rates by 0.25% and announced the resumption of Treasury bill purchases. Some committee members dissented, with one advocating for a larger cut. Bitcoin dropped to $92,000, Ethereum rose to $3,300, and Solana fell 3.2%.

The Fed did not commit to further rate cuts, emphasizing a data-dependent approach. The FOMC will resume purchasing short-term Treasury bills to ensure ample reserves. Officials project two rate cuts, but opinions vary, with one official suggesting up to six cuts next year.

The Fed’s decision was made without crucial data, including November’s CPI report and hiring data. The ADP National Employment Report showed a loss of 32,000 jobs in manufacturing, highlighting a weak job creation trend. The central bank faces the challenge of balancing rate cuts to avoid a recession.

The Fed’s rate cut was expected, with a high likelihood according to CME FedWatch. President Trump is considering candidates for the next Fed chair, with Kevin Hassett a frontrunner. Trump seeks a chair willing to cut rates, as current Chair Jerome Powell’s term ends in May.

A pro-crypto Fed Chair could accelerate blockchain integration, per analysts. Myriad traders predict a 73% chance of Hassett’s nomination before March. Trump has pressured Powell to cut rates, expressing frustration in a recent speech and questioning the legitimacy of Biden’s nominees.

Read more at Yahoo Finance: Bitcoin, Ethereum Waver as Fed Delivers Third Rate Cut