BIG 🚨 Federal Reserve Decision Day 97.8 Percent Chance of a Rate Cut Incoming
According to CME data the market is now pricing in a massive 97.8 percent probability that the Federal Reserve will cut interest rates by 25bps today
That is almost as close to a sure thing as it gets in macro but here is where things get interesting
My Take
I have been following this cycle closely and this meeting feels different
After months of inflation cooling and growth showing mixed signals this cut could mark a real turning point
It could be the first step toward an easing cycle after one of the most aggressive tightening periods in history
If the Fed does cut rates
Crypto liquidity is oxygen for digital assets
A 25bps cut signals the start of an easier environment and risk assets like BTC and ETH could rally hard
The market might see this as the Fed finally blinking opening the door for multi month upside in crypto
My personal expectation is that Bitcoin could test 118000 to 120000 within weeks if the sentiment turns risk on
Gold would also surge as lower rates weaken the dollar and make non yielding assets more attractive
If they only cut by 20bps a surprise move
That would show hesitation and a cautious attempt to ease without looking too dovish
Markets might react with confusion at first leading to volatility
Crypto could spike briefly but fade fast if the Fed looks unsure about committing to more easing
If the Fed does not cut rates
Then things flip completely
The market is fully priced for a cut so a hold would be a shock
Crypto would likely see a sharp pullback BTC could fall to the 108000 to 110000 range as risk sentiment fades
Gold might drop short term as yields rise but could rebound later as safe haven demand increases
Stocks would likely turn red since traders hate surprises and this would be one
