Crypto

Bitcoin Breaks Records as Global Markets Turn Risk-On – Will Rate Cuts Fuel the Next Crypto Rally?

August 14, 2025 — The global financial markets are in full “risk-on” mode, and cryptocurrencies are leading the charge. Bitcoin has surged to a record high, joining global equities in a rally fueled by growing expectations of U.S. interest rate cuts and a softer U.S. dollar.


Bitcoin and Ethereum Rally on Rate Cut Hopes

  • Bitcoin (BTC/USD): +2.98%, hitting fresh highs as traders bet on easier monetary policy.
  • Ethereum (ETH/USD): +2.27%, now hovering near levels not seen since November 2021.
  • Institutional Interest Rising: Bullish inflows from major funds are adding to upward momentum.

Ether has outperformed bitcoin so far this year, rising 42% compared to bitcoin’s 32%, as it becomes the token of choice for investors seeking higher returns.


Why the Crypto Surge Now?

The rally is being powered by three key drivers:

  1. Interest Rate Cut Expectations – The Federal Reserve is widely expected to start cutting rates next month, with some traders even pricing in a possible 50 basis-point cut in September.
  2. Regulatory Clarity – A more favorable U.S. regulatory stance is improving institutional confidence in crypto investments.
  3. Weaker U.S. Dollar – A softer greenback makes dollar-denominated assets like bitcoin more attractive.

Global Markets: A Mixed Session

  • Asia: Japanese stocks retreated after touching record highs, while Taiwan and South Korea saw slight pullbacks in tech-heavy indexes following a strong week.
  • Currencies: The Japanese yen strengthened to its highest in three weeks, boosted by expectations that the Bank of Japan may raise interest rates to fight inflation.

Looking Ahead

Investors will be watching:

  • Fed Chair Jerome Powell’s speech next week in Wyoming for hints on the policy path.
  • European economic data today for signs of how tariffs and global trade uncertainties are impacting growth.

Key Takeaway for Traders

With the possibility of aggressive Fed rate cuts and improving sentiment in risk assets, crypto markets could remain bullish in the short term. However, traders should remain alert to volatility—especially around major economic announcements.


Stay updated with Daily Forex Pakistan.

Yasher Rizwan

Recent Posts

USD to PKR Exchange Rate (October 8th, 2025)

Check the latest USD to PKR exchange rate for 8 October 2025. Stay updated with…

50 minutes ago

Gold Prices in Pakistan – 8th October, 2025

Check the latest gold prices in Pakistan for 8 October 2025, including rates per tola,…

1 hour ago

USD to PKR Exchange Rate – October 7, 2025

Check the latest USD to PKR exchange rate for 7 October 2025. Stay updated with…

1 day ago

Gold Price in Pakistan – 7 October 2025

Check the latest gold price in Pakistan for 7 October 2025, including rates per tola,…

1 day ago

USD to PKR Exchange Rate – October 2, 2025

Check the latest USD to PKR exchange rate for 2 October 2025. Stay updated with…

6 days ago

Gold Prices in Pakistan – 2 October 2025

Check the latest gold price in Pakistan for 2 October 2025, including rates per tola,…

6 days ago