Will the Fed Cut Rates in December? Crypto Weakens as Odds Shrink
The post Will the Fed Cut Rates in December? Crypto Weakens as Odds Shrink appeared first on Coinpedia Fintech News
Bitcoin has dropped to its lowest level in six months and the timing is rough.
The drop comes as investors lose confidence that the Federal Reserve will cut interest rates at its next meeting. And this is weighing heavily on both stocks and crypto markets.
Investors are now getting ready for a busy week of economic data after the government has reopened after a record 43-day shutdown.
Fed Rate Cut Odds DropThe Fed cut interest rates by 25 basis points in the last meeting. After the Fed cut rates in September, big institutions like J.P. Morgan had predicted two more rate cuts in 2025 and one more in 2026.
However, the market expectation of further cuts in December has shrunk significantly. According to the CME Fedwatch tool, the odds of a rate cut have now dropped below 45%.
