Bitcoin (BTC $87,557.18) staged a modest rebound in U.S. morning trading on Friday following a 10% overnight sell-off, after dovish comments from New York Fed President John Williams boosted expectations for a Federal Reserve rate cut in December.

“I still see room for a further adjustment in the near term to the target range for the federal-funds rate to move the stance of policy closer to the range of neutral,” Williams told the Wall Street Journal. “Looking ahead, it is imperative to restore inflation to our 2% longer-run goal on a sustained basis. It is equally important to do so without creating undue risks to our maximum employment goal.”

Williams’ remarks contrasted sharply with those of Fed hawk Cleveland Fed President Beth Hammack, who focused on inflation and potential stock market bubbles while largely dismissing labor market concerns.

The impact on markets was immediate. Bitcoin jumped from around $81,000 to above $84,000, and was trading near $83,500 at press time, still down 9.5% over the past 24 hours. Nasdaq 100 futures also climbed 0.35%, up from roughly flat prior to Williams’ remarks.

Expectations for a 25 basis point Fed rate cut in December surged to 70%, up from 39% a day earlier, according to the CME FedWatch Tool