Fed Rate Cut Probability Drops, Influencing Crypto Market Volatility

A recent update to CME’s FedWatch data has lowered the likelihood of a 25 basis point rate cut by the Federal Reserve in September, prompting market fluctuations and raising uncertainty for investors. This shift from previously predicted probability now stands at 92.1%. As a consequence, major cryptocurrencies like Bitcoin and Ethereum have witnessed price changes and increased volatility in response to the potential rate cut. 92.1% indicates a lower chance of a rate cut; however, it’s crucial to note that official statements from key figures in the financial space are still awaited.