Analyst: If the Federal Reserve "completely does not cut interest rates" in 2025, it may trigger a bear market, causing Bitcoin to pull back to $70,000
ChainCatcher news, according to Cointelegraph, network economist Timothy Peterson warned that if the U.S. Federal Reserve does not implement any interest rate cuts in 2025, it could trigger a broader market decline and pull the price of Bitcoin back to around $70,000. Peterson stated in a post: "The market needs a trigger, and I think that trigger could be the Fed not cutting rates at all this year."According to Peterson's Nasdaq minimum price forecast model, once a bear market begins, the Nasdaq is expected to drop 17% in about 7 months, which corresponds to a potential 33% drop in Bitcoin, bringing it down to $57,000. However, Peterson believes that the actual decline in Bitcoin may not be that severe, with the bottom price expected to be closer to the $70,000 low.He explained: "Traders and speculators circle above Bitcoin like vultures; once the market expects Bitcoin to drop to $57,000, it won't reach that price because there will always be investors stepping in when the price is 'low enough'." He recalled that in 2022, many predicted a bottom for Bitcoin at $12,000, but the actual low only fell to $16,000, which was 25% higher than expected.
