Goldman Sachs Predicts Fed's First Rate Cut in Q3 2024

Goldman Sachs has revised its estimate for the Federal Reserve's first interest-rate cut to the third quarter of 2024, citing factors such as the surge in Bitcoin and the broader crypto market, the expected launch of a spot ETF in the U.S., the upcoming Bitcoin mining reward halving, and the decline in the 10-year U.S. Treasury yield. Lower interest rates can stimulate risk-taking in the economy and financial markets, including cryptocurrencies. The Fed began raising rates in 2022 to combat inflation, which negatively impacted risk assets, including cryptocurrencies.