The post Trump’s 1% Rate Cut Call Likely to Spark New Bitcoin Liquidity Cycle appeared on BitcoinEthereumNews.com.

The U.S. President Donald Trump has proposed dropping interest rates to 1%, igniting a new debate within the worldwide financial landscape. As per CryptoRover, this move could substantially weaken conventional investment vehicles. On the other hand, the top digital assets, such as Bitcoin ($BTC), could go through a notable capital shift. Hence, the fresh liquidity entering these assets could surge to the latest highs. PRESIDENT TRUMP IS CALLING FOR 1% INTEREST RATE. AND PEOPLE ARE STILL UNDERESTIMATING ITS IMPACT. If Trump succeeds in pushing interest rates down to 1%, it will force global capital to move into Bitcoin. At 1% rates, traditional investments will stop doing their job. U.S.… pic.twitter.com/CcZGkH6YzD — Crypto Rover (@cryptorover) December 14, 2025 Trump’s Push for Interest Rate Cut to 1% Could Shift Institutional Liquidity to Bitcoin The reports indicate that Trump’s 1% interest rate call would considerably limit the traditional safe-haven assets’ attractiveness. As a result, the users will get minimal returns from the U.S. Treasuries, whereas money-market funds could also experience hindrance in compensating investors in the case of inflation. Therefore, there is a chance for the investors to turn toward the higher-yield assets like Bitcoin ($BTC). In this respect, the top players like Strategy are anticipated to get significant benefits. The platform offers massive yields of almost 10%. Thus, in a market overwhelmed by increasing interest rates, such yields could serve as a robust magnet to attract institutional liquidity. Potential Institutional $BTC Accumulation to Shrink Supply for Further Price Surge Additionally, while more capital is flowing into the yield-focused products of Strategy, the platform would have further resources to buy Bitcoin ($BTC). Subsequently, enhanced $BTC coins in its holdings would fortify the balance sheet thereof. This could make it relatively attractive to investors, likely unlocking additional capital, establishing a self-reinforcing inflow cycle. According…

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Filed under: News - @ December 15, 2025 7:16 am