According to data provided by CME FEDWATCH, the probability of a rate cut at the upcoming Federal Reserve meeting exceeds 50%.
Expectations for Fed Meeting
This week, on September 18, the Federal Open Market Committee is scheduled to hold a meeting where a decision on reducing interest rates is expected. According to CME FEDWATCH data, the probability of a 50 basis points rate cut is 63%, while the chances of a 25 basis points cut are 37%.
Reaction in the Cryptocurrency Market
The expectations of an interest rate cut, announced by the Federal Reserve several times earlier this year, have been one of the key drivers for Bitcoin price surges. Last week on Friday, the price of the world’s flagship cryptocurrency Bitcoin jumped by almost 5%, enabling BTC to reclaim the $60,000 price level. Over the past 24 hours, Bitcoin witnessed a decline of 3.22%, falling from $60,000 to the $58,560 zone, where it is changing hands at the time of writing this article.
Analysts' Predictions
Many analysts predict that the approaching Fed interest rate cut is likely to allow the Bitcoin rally to continue and advance towards higher levels this year, if other bullish scenarios play out.
The situation on financial markets remains tense in light of the upcoming Fed meeting. The expectations of a rate cut could significantly impact the prices of cryptocurrencies and other financial instruments.
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