On December 18, 2024, the price of Bitcoin dropped by almost 6% to below $100,500. This decline was attributed to the broader market reacting negatively to the US Federal Reserve's decision to cut interest rates by 25 bps. The market interpreted Fed Chair Jerome Powell's speech as a sign that the central bank would not be as aggressive in future rate cuts as previously anticipated. This resulted in a 2.5% drawdown for the S&P 500, and Bitcoin led the crypto market's negative response. Analysts viewed Powell's remarks as a shift towards a hawkish stance for the Fed, signaling the end of the easing cycle. Bitcoin's price decline took it away from its recent all-time high above $108 and brought it to a key zone where bears have historically dominated bulls. Other top coins like Ethereum (ETH) and XRP also experienced significant drops in price, with ETH falling 6% to $3,712 and XRP crashing 10% to $2.36.



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