87.4% chance of rate cuts is staring us in the face, and market enthusiasm can no longer be contained. This is not sensationalism—after the Federal Reserve cut interest rates by 25 basis points for the first time in September last year, bringing the rate to the 4.00%-4.25% range, a flood of liquidity surged into the entire capital market.

What does a rate cut mean? Simply put, borrowing becomes cheaper. Money is easier to borrow, investors' funds increase, and risk appetite rises accordingly. At this time, high-yield assets are most in demand—things like Bitcoin, Ethereum, and the like are starting to be taken seriously by traditional institutions.

JPMorgan's latest move speaks volumes. The bank announced that it will allow institutional clients to use Bitcoin and Ethereum as collateral for loans. Ironic, isn’t it? The former CEO once dismissed Bitcoin as a "hyped scam," and now it’s being treated as an asset. The shift in Wall Street’s attitude often signals a major market turning point.

**Echoes of History**

A quick look at the records makes it clear. In 2019, the Federal Reserve cut rates three times in a row, each by 25 basis points. Bitcoin surged from $4,000 at the start of the year to $8,000, and after the rate cuts, it shot straight up to $10,000. Even more dramatic was 2020—pandemic, zero interest rates, quantitative easing—all arrived. Bitcoin skyrocketed over 400% from its March lows to surpass $30,000 by the end of the year.

Of course, history doesn’t repeat exactly. But this time, the crypto market is no longer that wild, small corner of growth it once was. With the launch of BlackRock’s Bitcoin ETF, a large amount of traditional capital now has a compliant channel to enter. Increased institutional participation means the next upward cycle could be more solidly supported.