Dogecoin made a splash today, leaping over 6% in just 24 hours, and seizing the spotlight among major cryptocurrencies. Meanwhile, Bitcoin is on the verge of a significant milestone, inching closer to the $110,000 mark. This surge comes amid renewed optimism around potential U.S. interest rate cuts and the easing tensions over imminent tariff hikes.
Crypto Markets Cheer Tariff Talks Extension
The crypto rally was spurred by a surprising twist from Washington, D.C. U.S. officials announced that President Trump’s anticipated tariff hikes wouldn’t kick in immediately, offering a temporary reprieve to the global markets. Treasury Secretary Scott Bessent revealed that the initial July 9 deadline for countries to negotiate has been extended by three weeks, setting a new deadline for August 1. “Markets are rallying after it was revealed countries will have more time to negotiate before tariffs take effect,” shared Jeff Mei, COO at BTSE, via Telegram.
Mei also noted, “If we see a soft CPI print on Tuesday, that could open the door for a Fed rate cut later this year.” Indeed, traders are now laser-focused on the upcoming U.S. inflation data set to be released this Wednesday. A lower-than-expected Consumer Price Index (CPI) could bolster the case for a rate cut as soon as September, potentially fueling further gains in crypto and other risk assets.
Bitcoin and Ethereum Riding the Wave
Bitcoin’s modest 1.1% gain over the past day has pushed its price above the $109,000 threshold, while Ethereum has risen 2.5% to hit $2,570. As explored in our recent coverage of Bitcoin’s rise amid looming economic reports, this movement is part of a broader trend in the crypto markets. Other major players in the crypto sphere, such as Solana’s SOL, XRP, Cardano’s ADA, and Tron’s TRX, have also posted gains ranging from 2% to 4%. These upticks are buoyed by strong inflows and an improving sentiment across the board.
Eugene Cheung, Chief Commercial Officer at OSL, commented, “The BTC bounce and ETH inflows show traders are rotating into long-term value assets.” Cheung added, “We expect more investors to seek shelter in crypto as macro volatility builds.” The prospect of a dovish pivot from the Federal Reserve is encouraging investors to look toward Bitcoin and Ethereum as potential hedges against inflationary pressures and broader economic uncertainties.
Dogecoin’s Meteoric Rise and Retail Enthusiasm
Dogecoin’s standout performance is a testament to reignited retail interest, with trading volumes surging past $1.5 billion in the last 24 hours—a notable feat, especially during a weekend that followed a rather subdued trading week. The meme coin’s rise was further bolstered by Elon Musk’s latest venture, the “America Party,” which seems to have rekindled enthusiasm among his followers.
Musk’s known support for Dogecoin has often acted as a catalyst for its price movements, and today’s announcement was no exception. With the America Party’s apparent embrace of Bitcoin as a counter to fiat currencies, there’s a palpable sense of anticipation about its potential impact on the broader crypto landscape. For a deeper dive into the market dynamics, see our analysis of recent crypto liquidations.
Looking Ahead: Rate Cuts and Market Implications
As we move further into July, the anticipation surrounding potential U.S. rate cuts continues to dominate market narratives. A dovish shift from the Federal Reserve could set off a chain reaction, driving further investment into cryptocurrencies and other risk assets. However, questions remain about whether these trends can sustain themselves in the face of evolving macroeconomic conditions.
Investors are cautiously optimistic, yet mindful of the inherent volatility that characterizes the crypto market. While the immediate outlook appears promising, the unfolding geopolitical and economic developments will undoubtedly shape the trajectory of digital currencies in the months ahead. As always, the crypto community watches with bated breath, eager to see how these dynamics play out in real time.
Source
This article is based on: Dogecoin Pops 6% to Lead Majors Gains as Bitcoin Nears $110K on Fresh Rate-Cut Optimism
Further Reading
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Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
