In recent days, cryptocurrencies have experienced significant fluctuations, largely due to shifting expectations regarding interest rate cuts. Today’s Producer Price Index (PPI) data has solidified the expectation of a rate cut, raising questions about how experts interpret the current situation and where Solana’s price might be headed.
Current State of Cryptocurrencies
Following the release of today’s PPI data, the highly anticipated December 10 interest rate decision for cryptocurrencies has been clarified. Recent reports and statements seem to be pushing the Federal Reserve (Fed) towards a 25 basis point cut, increasing the potential for Bitcoin 
$91,081‘s continued rebound. With the data in hand, the Central Bank has delivered the good news regarding the expected rate cut.
“September’s PPI inflation rose to 2.7%, surpassing expectations of 2.6%. Core PPI inflation fell to 2.6%, below the 2.7% expectation. PPI inflation presents less of a challenge than the weakening labor market. We foresee an interest rate cut this December.”
Furthermore, we observe increased progress in the Ukrainian peace agreement. The reduction of geopolitical risks could become a new supportive factor for cryptocurrencies. If the December announcements also support monetary expansion and Powell dispels doubts regarding rate cuts, we forecast a promising start to the new year. The Treasury Secretary indicated today that Trump might announce the new Fed chair before December 25.
With oil prices weakening, considering the impact of energy costs on inflation, it is becoming clearer that employment should be the focus in the new year.
Solana (SOL)
ETF approvals and increased network activity have pushed the overall market sentiment into negativity, pressuring SOL Coin below its expected levels. Despite this, when looking at the broader cycle, Solana 
$139 holds a relatively strong position compared to other cryptocurrencies but needs to start gaining momentum. ETH is preparing to reclaim the $3,000 level, and XRP quickly bounced back to $2.2 with ETF support, signaling the beginning of a rebound in altcoins.
DaanCrypto shared the following chart, and his insights on SOL Coin:
“SOL experienced a notable drop. However, initial signs of life from some SOL memes and SOL finding support in high time frames have caught my attention.
The significant local area is around $145, a high-volume node in the price action of the last two years. Should it break above this level, the next target is around $155. Let’s see if there will be developments in the coming weeks.”
