The unkindest cut 🪒

Following the Fed's much-anticipated rate cut, Bitcoin... dropped, in tandem with the wider crypto market. Analysts argue the move was priced in, with more turbulence ahead.

Author

Stephen Graves
December 11, 2025

đź“ť What you need to know

Following Wednesday’s Fed rate cut, Bitcoin slipped downwards Thursday morning, taking the wider crypto market along with it.

Analysts argued that Bitcoin’s decline was down to the market pricing in the cut ahead of time, as well as “pre-pricing a more complex future macro environment,” with a looming political and economic pivot in 2026 set to be a critical risk.

In the near term, Bitcoin traders are tempering expectations of a “Santa rally,” with bulls instead “levering up for an explosive Q1.” That’s reflected on prediction market Myriad, owned by Decrypt’s parent company Dastan, where traders place just a 17% chance on a “Santa rally” closing out the year.

Here’s Why Bitcoin is Falling Despite the Fed's Rate Cut

Analysts say the Fed’s rate cut was priced in, driving Bitcoin lower as risks like sticky inflation and the 2026 election cycle mount.

đź“° In the News

Bitcoin Traders Bet on 2026 Boom, Not a Santa Rally, Following Fed Rate Cut

Bitcoin options traders are tempering expectations for a Santa rally and are now looking to $130,000 and $180,000 strikes in Q1, 2026.

Elon Musk's SpaceX Moves Bitcoin Ahead of Potential Record IPO

Elon Musk's private aerospace company SpaceX moved more of its Bitcoin holdings on Wednesday ahead of reported blockbuster IPO plans.

Coinbase Ending USDC Rewards for Free Users, Will Only Be for Paid Members

Not all Coinbase users will be able to earn rewards on USDC holdings, as the exchange moves to make it a feature for Coinbase One members.

đź“Š Myriad Market of the Day

Will Santa bring us a Rally this year?

Trade "Will Santa bring us a Rally this year?" on Myriad

đź’¬ Quote of the Day

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“With Christmas and year-end settlement approaching, this period historically marks the weakest liquidity conditions in crypto.”

Adam Chu, chief researcher at options analytics platform GreeksLive

🥇 Be First to Market With Myriad

Join the Myriad Markets Telegram to see the latest prediction markets the second they drop!

With Myriad, the on-chain prediction market launched by Decrypt’s parent company DASTAN, you can break the news and stake the news, using USDC and points.

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The partnership will see a Sei “crypto wallet and discovery app” preinstalled on devices sold outside mainland China and the U.S.

đź“š Watch and Learn

📹️ WATCH: The Solana Policy Institute is Tracking These Regulatory Trends

Kisten Smith, President of Solana Policy Institute, explains how regulatory tailwinds are shaping the industry, from crypto treasury firms to industry confabs.

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