Bessent’s clarification of the “$2,000 dividend” shifted how the market interpreted the fiscal-stimulus discussion. The plan was described as tax cuts rather than a direct liquidity injection, weakening confidence among traders who had been focused on policy support. At the same time, Logan’s hawkish remarks reduced expectations for a December rate cut, leaving crypto bulls with fewer macro drivers to rely on.
Against that backdrop, Bitcoin and Ethereum prices fell sharply, and market fear intensified. The pressure came from two connected developments: Federal Reserve hawkish commentary lowered rate-cut expectations, while the fiscal-stimulus plan was clarified as a tax-cut arrangement instead of immediate liquidity entering the market. For risk assets that are sensitive to easing expectations and liquidity conditions, both points weighed on sentiment.
The input also noted that the AI narrative has become the market’s “final pillar.” However, Nvidia’s earnings report was identified as a factor that could bring further volatility. With Bitcoin and Ethereum both under pressure, traders’ response to monetary policy, fiscal messaging and the artificial-intelligence theme has been reflected in weaker risk appetite and larger price swings.