Federal Reserve Chair Jerome Powell suggested that rate cuts may come before year-end, signaling the end of the Fed’s balance sheet reduction program. Powell’s comments fueled optimism across digital asset markets, helping both Bitcoin and Ether ETFs rebound.

“An October rate cut will have markets taking flight, with crypto and ETFs seeing liquidity flow,” said Vincent Liu of Kronos Research. Even after a recent flash crash, crypto investment products remain resilient, with $48.7 billion in inflows for 2025, already surpassing last year’s total.