Federal Reserve Likely to Cut Rates in December, Impacting Crypto Markets

The Federal Reserve has a high probability of reducing interest rates by 25 basis points in December, according to CME’s FedWatch tool which reports a 69.8% chance. This potential change could significantly impact cryptocurrency markets as liquidity may increase and investor interest grows, potentially leading to price shifts across the space. The Federal Reserve’s monetary policy changes have historically led to gains in digital assets like Bitcoin and Ethereum, with these rate cuts often triggering increased risk-seeking behavior from investors. 69.8% probability of a 25 basis point Fed rate cut in December. This suggests potential easing in monetary policy, prompting keen market interest.