Bitcoin bid XRP 200-day average Fed rate cut: Bitcoin and XRP staged a notable rally as expectations of a Federal Reserve rate cut accelerated, with XRP reclaiming its 200-day moving average. Market participants are closely watching Mag 7 tech earnings and a potential Trump-Xi summit for their wider market impact.
What Happened
Bitcoin surged above $67,000 on Tuesday, marking its highest level in June, fueled by renewed buying appetite ahead of a widely anticipated Federal Reserve rate cut, according to data from Bloomberg. Simultaneously, XRP (Ripple) recaptured its 200-day moving average, a key technical milestone watched by traders, notched at $0.54. This dual move in major cryptocurrencies occurs as equity markets await earnings from the ‘Mag 7’ — Apple (AAPL), Microsoft (MSFT), Alphabet (GOOGL), Amazon (AMZN), NVIDIA (NVDA), Meta (META), and Tesla (TSLA) — and geopolitical attention turns toward the anticipated Trump-Xi summit, which could signal shifts in US-China technology and trade relations. According to Reuters, CME FedWatch Tool indicated a 72% probability of a 25-basis-point rate cut at the Fed’s July meeting, intensifying the rally across risk assets.
Why It Matters
The resurgence in the Bitcoin bid and XRP’s break above its 200-day average underscores how sensitive crypto assets are to changing monetary policy expectations. Historically, digital assets have performed well in easing rate environments as lower yields drive appetite for alternative and higher-beta investments. With the US core inflation rate moderating to 2.6% year-on-year (Bureau of Economic Analysis, May 2025), the Fed’s dovish pivot is echoing across multiple asset classes. The return of XRP above its long-term moving average signals a potential sentiment shift after months of regulatory uncertainty and tepid momentum. Meanwhile, the Mag 7 earnings reports and the outcome of the Trump-Xi summit may set tone for global growth and risk sentiment, affecting both crypto and equities in tandem, as discussed in recent market analysis.
Impact on Investors
For investors, the alignment of macro and technical signals presents both new opportunities and overlooked risks. Bitcoin (BTC) and XRP (XRP) look poised for further upside if Fed policy loosens and positive earnings reinforce investor confidence. However, volatility may remain elevated around policy shifts and headline events from the Trump-Xi summit. “Crypto is showing resilience, but with potential binary outcomes tied to macro and geopolitical headlines,” said Priya Nair, Head of Digital Asset Strategy at Silvergate Advisors. Technology shares, especially within the Mag 7, continue to correlate with crypto sentiment — a move highlighted in investment insights. Investors should monitor both key technical levels and central bank signals as part of a diversified strategy.
Expert Take
Analysts note that the interplay between Fed rate expectations and digital asset momentum could amplify both gains and pullbacks, especially as institutional participation grows. Market strategists suggest watching XRP’s sustained hold above its 200-day moving average as a test for renewed retail and institutional interest.
The Bottom Line
The convergence of Fed rate cut anticipation, robust Bitcoin bid, and XRP’s technical breakout highlights a shifting landscape for digital asset investors. As earnings and diplomatic talks loom, maintaining a focus on macro triggers and trend-defining technicals will be essential for navigating a rapidly evolving 2025 market narrative. For those tracking the Bitcoin bid XRP 200-day average Fed rate cut, the coming weeks may bring critical inflection points across both crypto and equities.
Tags: Bitcoin, XRP, Federal Reserve, Mag 7, crypto markets.
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