Federal Reserve Governor Christopher Waller hinted at a potential interest rate cut “as early as July” during a CNBC interview on Friday, triggering a brief rally in crypto and equity markets before Bitcoin gave back its gains.
Market Pulse: Bitcoin Jumps Then Fades
Bitcoin briefly surged past $106,539 after Waller’s dovish comments, but quickly retreated to $104,294.98 at press time, down 0.05% on the day and 1.22% over the past week. The cryptocurrency has been oscillating between $103,932 and $106,539 over the last 24 hours.
U.S. stock markets were mixed: the Dow Jones edged up 0.16%, while the S&P 500 and Nasdaq fell 0.26% and 0.64% respectively. Crypto markets initially gained 0.47% but later reversed to a 0.13% loss.
Waller’s Dovish Stance
“I think we’re in the position that we could do this and as early as July,” Waller said, referring to a rate cut. He added that this was his personal view and would depend on committee consensus. President Donald Trump has repeatedly criticized Fed Chair Jerome Powell for not cutting rates, calling him “numbskull” and “Too Late.” Waller’s comments suggest some internal shift at the Fed, although the path remains uncertain.
On-Chain & Derivatives Data
Trading volume edged up 1.54% to $42.65 billion, while open interest in Bitcoin futures rose 0.90% to $70.09 billion, indicating heightened speculation. However, overleveraged bulls suffered: long positions worth $40.03 million were liquidated, alongside $22.61 million in shorts, totaling $62.64 million in liquidations over the past 24 hours.
Bitcoin dominance inched up to 64.94%, suggesting modest capital rotation from altcoins to BTC amid market uncertainty.
Outlook
Waller’s dovish hint provided a short-term catalyst, but the market had already priced in some probability of a cut. With internal Fed divisions and Trump’s ongoing pressure, Bitcoin could trade in a $100K–$106K range until the July FOMC meeting delivers clearer signals.