The post Limited Fed Rate Cuts Predicted by 2026, Report Finds appeared on BitcoinEthereumNews.com. Key Points: BlackRock strategists foresee limited Fed rate cutsThe post Limited Fed Rate Cuts Predicted by 2026, Report Finds appeared on BitcoinEthereumNews.com. Key Points: BlackRock strategists foresee limited Fed rate cuts

Limited Fed Rate Cuts Predicted by 2026, Report Finds

Key Points:
  • BlackRock strategists foresee limited Fed rate cuts by 2026.
  • 175 basis point cuts delivered, nearing neutral rate.
  • Limited cuts possible unless labor market worsens.

BlackRock strategists Amanda Lynam and Dominique Bly predict limited Federal Reserve rate cuts in 2026, aligned with reaching neutral rates, according to their December 18, 2025 report.

This forecast could affect yield-sensitive assets like Bitcoin and Ethereum amid credit market shifts, despite no direct cryptocurrency market reaction confirmed.

BlackRock’s Prediction on Fed Rate Cuts

BlackRock strategists Amanda Lynam and Dominique Bly released a report noting that the Fed has cut rates by 175 basis points. This action points towards the neutral rate zone, indicating limited cuts unless the labor market deteriorates significantly. Amanda Lynam, Strategist, BlackRock, mentioned:

Rate adjustments have influenced credit and financial markets, with potential implications for yield-sensitive assets. The strategists indicate that further reductions might be restricted due to the neutral rate proximity and economic conditions. For more insights on this, you can refer to the rise of private credit and its implications.

Bitcoin’s Position Amidst Fed’s Limited Rate Cut Outlook

Did you know? The Federal Reserve’s rate cut trajectory often influences cryptocurrency market volatility, showing significant price fluctuations during economic policy shifts.

According to CoinMarketCap, Bitcoin (BTC) is currently priced at $87,264.39 with a market cap of $1.74 trillion, holding a 59.10% market dominance. The 24-hour trading volume fell by 25.57% to $31.72 billion. Bitcoin’s price changed by -0.52% over 24 hours and -21.95% over 60 days.

Bitcoin(BTC), daily chart, screenshot on CoinMarketCap at 13:14 UTC on December 24, 2025. Source: CoinMarketCap

The Coincu research team suggests that limited interest rate cuts could stiffen financial conditions and tighten liquidity, possibly resulting in fluctuations across credit markets. Historical analysis highlights these economic shifts’ potential to amplify market volatility in various blockchain-driven financial instruments.

Source: https://coincu.com/markets/federal-rate-cuts-2026/

Market Opportunity
Blocery Logo
Blocery Price(BLY)
$0.002056
$0.002056$0.002056
+20.51%
USD
Blocery (BLY) Live Price Chart
Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact service@support.mexc.com for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

The Channel Factories We’ve Been Waiting For

The Channel Factories We’ve Been Waiting For

The post The Channel Factories We’ve Been Waiting For appeared on BitcoinEthereumNews.com. Visions of future technology are often prescient about the broad strokes while flubbing the details. The tablets in “2001: A Space Odyssey” do indeed look like iPads, but you never see the astronauts paying for subscriptions or wasting hours on Candy Crush.  Channel factories are one vision that arose early in the history of the Lightning Network to address some challenges that Lightning has faced from the beginning. Despite having grown to become Bitcoin’s most successful layer-2 scaling solution, with instant and low-fee payments, Lightning’s scale is limited by its reliance on payment channels. Although Lightning shifts most transactions off-chain, each payment channel still requires an on-chain transaction to open and (usually) another to close. As adoption grows, pressure on the blockchain grows with it. The need for a more scalable approach to managing channels is clear. Channel factories were supposed to meet this need, but where are they? In 2025, subnetworks are emerging that revive the impetus of channel factories with some new details that vastly increase their potential. They are natively interoperable with Lightning and achieve greater scale by allowing a group of participants to open a shared multisig UTXO and create multiple bilateral channels, which reduces the number of on-chain transactions and improves capital efficiency. Achieving greater scale by reducing complexity, Ark and Spark perform the same function as traditional channel factories with new designs and additional capabilities based on shared UTXOs.  Channel Factories 101 Channel factories have been around since the inception of Lightning. A factory is a multiparty contract where multiple users (not just two, as in a Dryja-Poon channel) cooperatively lock funds in a single multisig UTXO. They can open, close and update channels off-chain without updating the blockchain for each operation. Only when participants leave or the factory dissolves is an on-chain transaction…
Share
BitcoinEthereumNews2025/09/18 00:09
Egypt to invite investors for projects in ‘golden triangle’

Egypt to invite investors for projects in ‘golden triangle’

Egypt is preparing a list of projects to show potential investors in its promising “golden triangle” area, home to nearly half the Arab country’s gold deposits.
Share
Agbi2025/12/25 04:09
OpenVPP accused of falsely advertising cooperation with the US government; SEC commissioner clarifies no involvement

OpenVPP accused of falsely advertising cooperation with the US government; SEC commissioner clarifies no involvement

PANews reported on September 17th that on-chain sleuth ZachXBT tweeted that OpenVPP ( $OVPP ) announced this week that it was collaborating with the US government to advance energy tokenization. SEC Commissioner Hester Peirce subsequently responded, stating that the company does not collaborate with or endorse any private crypto projects. The OpenVPP team subsequently hid the response. Several crypto influencers have participated in promoting the project, and the accounts involved have been questioned as typical influencer accounts.
Share
PANews2025/09/17 23:58