Goldman Sachs, led by economist Marc Giannoni, has announced a revision of the Federal Reserve's anticipated rate cut to September 2025.
Goldman Sachs Forecast Change
On July 1, 2025, Goldman Sachs adjusted its expected Fed rate cut from December to September. This revision is based on updates from the Fed report and increased macroeconomic activity.
Impact on Crypto Markets
Expected changes in interest rates may lead to increased volatility in cryptocurrency markets, including Bitcoin and Ethereum. Both assets are closely tied to economic shifts, and prolonged high-interest rates typically limit risk investments in the crypto sector.
Potential Volatility Changes
According to CoinMarketCap, Bitcoin (BTC) is currently trading at $107,612.10. It is important to note that anticipation of interest rate changes historically leads to increased short-term volatility in key cryptocurrencies, impacting trade volumes and liquidity within decentralized finance ecosystems.
The revised prediction for the Fed's interest rate cut in September 2025 reflects current economic trends and indicates that cryptocurrency markets may face heightened volatility.
