The Federal Open Market Committee (FOMC) has reduced interest rates by 25 basis points, setting the new range at 3.50% to 3.75%. This decision, announced in December 2025, comes amid ongoing economic concerns and aims to provide potential support for cryptocurrencies such as Bitcoin and Ethereum. FOMC minutes indicate a willingness to implement further rate cuts if inflation continues to decline and labor market risks remain. Chair Powell emphasized that the federal funds rate is approaching a neutral level and cautioned against premature rate increases.