Bitcoin’s Big Week: Fed Rate Cut Hype amid New BTC Treasury Announcement

Updated 6 hours ago by · 2 mins read

Asset Entities merger with Strive sets the stage for a $1.5 billion Bitcoin purchase, while Fed’s expected rate cut could bring massive inflows.

Bitcoin BTC $113 545 24h volatility: 0.7% Market cap: $2.26 T Vol. 24h: $51.97 B is entering one of its most pivotal weeks of 2025, with investors watching the Federal Reserve’s looming rate cut while a new corporate treasury announcement shows unfazed commitment for BTC from traditional finance.

Shares of Asset Entities (ASST) skyrocketed on Sept. 9 after shareholders approved a merger with Vivek Ramaswamy’s Strive Enterprises to form a dedicated Bitcoin treasury company.

Strive’s $1.5 Billion Bitcoin Bet

The rebranded firm, Strive Inc, plans to raise $1.5 billion to purchase Bitcoin, an amount that would place it among the top ten public corporate holders of the cryptocurrency.

The company said the capital raise will be split evenly between $750 million from a private investment in public equity (PIPE) and $750 million from warrant exercises tied to the PIPE.

At current market prices, this war chest could fund the acquisition of 13,450 BTC.

Long-Term Ambitions

Strive’s longer-term ambitions are even bigger. When the merger was first proposed in May, the company floated the idea of acquiring 75,000 Bitcoin linked to claims from the collapsed Mt. Gox exchange.

If successful, it could dramatically increase its Bitcoin-per-share ratio, a metric increasingly important in the treasury strategy race.

While the merger gives Strive’s leadership to Strive Asset Management CEO Matt Cole, with Asset Entities’ Arshia Sarkhani stepping in as chief marketing officer, it remains unclear what role Ramaswamy himself will take in the combined firm.

Fed Rate Cut Looms

The Strive deal comes as the Federal Reserve is widely expected to announce its first rate cut of the cycle. According to CryptoQuant, markets have already priced in a 25–50 basis point reduction, with speculation shifting from “if” to “when.”

In March 2020, aggressive rate cuts initially saw Bitcoin plunge with equities, but within weeks, stablecoin inflows surged and BTC exchange balances began to decline as investors moved coins to long-term storage.

That combination fueled the 2021 bull market. A similar pattern played out in late 2024 when renewed Fed easing coincided with rising stablecoin reserves and falling BTC exchange balances, sparking a fresh rally.

This time, the setup appears similar. Lower rates could result in fresh capital entering Bitcoin, making BTC the next crypto to explode in 2025.

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