Fed Rate Pause in September? Crypto Primed for Liftoff If Cuts Come

The Federal Reserve's next move could send shockwaves through digital asset markets—if they finally ditch the 'wait-and-see' approach.

Why crypto traders are circling September

Monetary policy moves move markets. When the Fed pivots, altcoins typically get whiplash before Bitcoin leads the charge. This time? Institutional money's already positioning for a risk-on rally.

The irony? Traditional finance spent a decade dismissing crypto—now their own rate decisions fuel its rallies. Maybe blockchain doesn't need Wall Street's approval after all.

The U.S. Federal Reserve is expected to keep interest rates steady at 4.25–4.5% following the latest GDP Deflator data, which shows low inflation pressures. Forward guidance may hint at a possible rate cut in September. Such a move could boost risk assets including Bitcoin and other cryptocurrencies by increasing liquidity and investor confidence. Market participants are watching closely as easing monetary policy expectations tend to support crypto market rallies despite ongoing macroeconomic uncertainties.