According to the CME FedWatch tracker, there is nearly a 2 in 3 chance (67.3%) that the Federal Reserve will cut rates by 25 basis points this December. There is only a 32.7% chance of maintaining the status quo.
Why it matters: A rate cut typically pushes capital toward risk assets like Bitcoin and altcoins, seeking higher returns. Meanwhile, maintaining high rates favors a strong dollar and puts pressure on crypto.
The currency: The upcoming inflation and employment data will be key to confirming this trend. Stay tuned.
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
The Fed could lower rates in December: what does it mean for crypto?
According to the CME FedWatch tracker, there is nearly a 2 in 3 chance (67.3%) that the Federal Reserve will cut rates by 25 basis points this December. There is only a 32.7% chance of maintaining the status quo.
Why it matters: A rate cut typically pushes capital toward risk assets like Bitcoin and altcoins, seeking higher returns. Meanwhile, maintaining high rates favors a strong dollar and puts pressure on crypto.
The currency: The upcoming inflation and employment data will be key to confirming this trend. Stay tuned.