Fed Pauses Rates, But No Cuts Until Late 2025
The U.S. Federal Reserve has officially paused interest rate hikes, maintaining current levels as expected. However, hopes for a rate cut have been dashed — no reductions are expected until late 2025. This stance has left investors grappling with a key question: will this spark a new crypto rally or trigger a correction? While markets had priced in a possible pause, the absence of an imminent pivot is shifting sentiment, especially across high-risk assets like crypto.
Bitcoin Holding Above $100K – Calm Before the Storm?
As of now, Bitcoin is trading around $105,000, showing stability but also flashing caution. Traders are eyeing the $110K resistance as a potential breakout point, while key support lies at $100K and $98K. The 4-hour chart suggests a coiling pattern with a breakout likely within the next 48 hours. Whales continue to accumulate, suggesting confidence among long-term holders, even as trading volume remains muted — a potential red flag for volatility.
Ethereum Faces Resistance – Altcoins Flatline
Ethereum remains sluggish, hovering near $2,550, below the crucial $2,650 resistance. The current price action forms an ascending wedge, often a precursor to fake moves. Most altcoins are trending sideways, with no major panic selling — a sign that the market is cautious but not fearful. The Crypto Fear & Greed Index is at 62, signaling entry into the "Greed Zone" but still short of extreme sentiment.
Bullish vs Bearish: The Market Tug-of-War
Bullish factors include Bitcoin’s resilience above $100K, steady ETF inflows, and ongoing whale activity. No significant altcoin crash adds to the calm. However, bearish signals can’t be ignored — low volume could set up traps, ETH’s struggle to climb, and high bond yields that keep traditional investors away from riskier bets like crypto. Market makers might also exploit weekend illiquidity, increasing the likelihood of fakeouts.
Weekend Outlook: Accumulation or Bull Trap?
The weekend setup is critical. This sideways movement might lull traders into complacency before sharp moves. Key strategy points include: avoid FOMO, don’t buy breakouts without volume confirmation above $110K, and treat dips near $100K as accumulation opportunities. Prioritize strong assets like BTC and ETH; this is not the time to gamble on low-cap tokens.
Conclusion: Strategy Over Emotion
The Fed may be on pause, but the crypto market is poised for action. With a tight range forming and macroeconomic uncertainty lingering, traders should brace for sudden volatility. Whether we see a breakout or a bull trap, success hinges on preparation — not prediction. Keep your capital protected, avoid emotional trading, and act with clarity. The next 48 hours could define the crypto direction for weeks to come — stay sharp.