Why are interest rates cut but prices are "dumping" 🏦🔻

Some important points:

1. The Federal Reserve (The Fed) cut interest rates by about 25 basis points and targeted interest rates to around 3.75-4% 

2. This interest rate cut should support risk assets (stocks, crypto) because it makes safe alternatives like bonds less attractive. Generally, the concept is: interest rates drop → money wants to seek higher yields → risk assets rise. 

3. But in reality: In crypto, for example, Bitcoin immediately dropped to around US$110,000 after the rate cut. 

4. Why? Several reasons:

- The market had anticipated the rate cut well in advance → so if the cut is "in line with expectations" or even accompanied by cautious conditions, then the positive "surprise" is thin. Example: The Fed says it may not necessarily cut again in December → the signal is less confident. 

- Most crypto positions are highly leveraged (margin loans, etc.) → when there is a moment of uncertainty, risk-off quickly strikes → many "sell the news". 

- Cutting interest rates does not mean everything is good directly. If the cut is based on slowing economic data or still high inflation, then sentiment can become mixed: "Wow, the economy is weakening" → which can be feared.

- The Fed's policy is like "cut but cautiously" → If the signals are strong for further cuts or more aggressive easing, then the market is happy. If the signal is "cut but let's wait and see" then the market can be disappointed. 

So the bottom line: yes, the cut rate is good, but expectations + macro context determine whether prices rise immediately or even fall.