Despite mounting pressure from former President Donald Trump, the Federal Reserve announced today that interest rates will remain at 4.25%–4.50%, citing persistent inflation risks. Two Fed governors—Michelle Bowman and Christopher Waller—voted for a cut, marking the first dissent since 1993 .
Trump’s bold claims that Chair Powell is poised to slash rates by September sparked widespread market speculation. However, Powell emphasized a "wait-and-see" approach and warned that economic data — especially from tariffs and job markets — must support any decision .
CME FedWatch tool chances for a September cut have now dropped from 63% to roughly 40–47%, creating uncertainty among investors .
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🔍 What This Means for Crypto Markets:
Bitcoin (BTC) faced a 1% dip, hovering around $117K, as traders reevaluate rate hike timelines .
Ethereum (ETH) and XRP showed modest gains (+1.1% and +0.4%) amid fallout from the FOMC decision .
The declining probability of a rate cut signals slower bullish momentum, forcing a cautious outlook for risk assets like crypto .
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✅ What Should You Do Now?
1. Watch BTC and ETH closely — support levels near $116K matter.
2. Avoid over-leveraging — the risk environment is unpredictable.
3. Set alerts for inflation (PCE) and employment figures heading into September.
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💬 Your Thoughts?
Do you believe crypto will rebound before September?
👇 Drop your take in the comments — let's debate!
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