Bitcoin News

Story: Bitcoin and Altcoins Could Surge After Fed Moves, Economist Warns

By Steven Anderson

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Fed Rate Cuts and Crypto Markets. Peterson told Cointelegraph that the market is underpricing the likelihood of rapid rate cuts by…

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Bitcoin Price Reacts to Fed Moves. In response to the rate cut, Bitcoin briefly surged to $117,000 but later retreated to around…

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Market Expectations for Upcoming Months. Financial institutions were divided on expectations for the September Fed meeting.

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Altcoins Could Follow Bitcoin Higher. While Bitcoin often leads market trends, altcoins are expected to benefit from increased liquidity…

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Investor Preparedness. Despite the bullish outlook, Peterson warns that many market participants aren’t fully prepared…

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Conclusion. The Federal Reserve’s ongoing rate adjustments could serve as a catalyst for significant price…

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The cryptocurrency market may be in for a significant shake-up in the coming months as the U.S. Federal Reserve’s monetary policy shifts.

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Peterson told Cointelegraph that the market is underpricing the likelihood of rapid rate cuts by the Federal Reserve over the next several months.

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“There has never been a gradual reduction in rates like that currently envisioned by the Fed,” Peterson explained.

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The Fed’s first rate cut of 2025 occurred on September 17, with a 25 basis point reduction. The move was largely anticipated, with CME FedWatch Tool indicating a 96% probability…

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In response to the rate cut, Bitcoin briefly surged to $117,000 but later retreated to around $115,570, according to CoinMarketCap. Over the past 30 days, BTC has gained roughly 1.

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Market participants are now pricing in a 91.9% probability of another 25 basis point rate cut at the Fed’s October 29 meeting, with only an 8.

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Lower interest rates traditionally support risk-on assets, including equities and cryptocurrencies, as lower returns on bonds and term deposits encourage investors to seek…

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Financial institutions were divided on expectations for the September Fed meeting. Standard Chartered forecasted a more aggressive 50 basis point cut, while Goldman Sachs CEO…

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With Fed officials projecting two more quarter-point cuts by the end of 2025, analysts anticipate that this monetary policy shift could accelerate interest in digital assets.

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