With the Federal Reserve's upcoming decision on interest rates, analysts predict that rates will remain unchanged. This prediction affects the cryptocurrency market, particularly Bitcoin and Ethereum.
Probability of Fed Rate Hold
According to the CME Group's FedWatch tool, there is a 97.8% probability that the Federal Reserve will not change its interest rate in June 2025. This creates cautious market sentiment, with many traders making decisions based on expected economic conditions.
Changes in Bitcoin and Ethereum Reserves
With just a 2.2% chance for a rate cut, market expectations lean heavily toward a hold decision. Bitcoin reserves have reached new lows, indicating a shift towards self-custody. Meanwhile, Ethereum has experienced substantial inflows into spot ETFs, reflecting growing confidence in this cryptocurrency.
Market Data Overview
According to CoinMarketCap, Bitcoin (BTC) is trading at $103,474.55 with a market capitalization of $2.06 trillion. Over the last 24 hours, the price fell by 1.98%, and the trading volume reached $51.29 billion. Reported liquidations soared to $208 million, indicating high volatility and trader position adjustments.
Current expectations regarding Fed rates largely dictate sentiments in the cryptocurrency market. The resilience of Bitcoin and changes in Ethereum inflows highlight the differing perceptions of these assets among market participants.
