Crypto Markets Brace for Potential Fed Rate Cut

Major cryptocurrency markets are eagerly anticipating the Federal Reserve’s anticipated rate cut in September 2025, a move that could significantly impact prices. The potential rate reduction has been driving market activity and influencing both price trends and on-chain dynamics for Bitcoin (BTC) and Ethereum (ETH). Institutional investors are observing developments with keen interest, contributing to an influx of funds into crypto ETFs. 12 billion dollars have flowed into these funds since Q2 2025. Federal Reserve Chair Jerome Powell’s recent comments on policy directions have spurred market anticipation, as the actions taken by the Fed will directly impact crypto markets.