{"id":89025,"date":"2025-09-18T10:17:09","date_gmt":"2025-09-18T07:17:09","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=89025"},"modified":"2025-09-18T10:22:56","modified_gmt":"2025-09-18T07:22:56","slug":"fed-cuts-key-rate-bitcoin-holds-at-117000","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/fed-cuts-key-rate-bitcoin-holds-at-117000\/","title":{"rendered":"Fed cuts key rate; bitcoin holds at $117,000"},"content":{"rendered":"<p>On September 17 <span data-descr=\"US Federal Reserve System\" class=\"old_tooltip\">the Fed<\/span> <a href=\"https:\/\/www.federalreserve.gov\/newsevents\/pressreleases\/monetary20250917a.htm\">cut<\/a> its key rate by 0.25 percentage points to 4\u20134.25%, the first reduction since December 2024. The outcome matched investor expectations and market reaction was muted.\u00a0<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cRecent data indicate that economic activity slowed in the first half. Job gains have moderated and the unemployment rate has edged up, while remaining low. Inflation has risen and remains elevated,\u201d the statement said.\u00a0<\/p>\n<\/blockquote>\n<p>On the news, the price of the first cryptocurrency briefly dipped below $115,000. By the time of writing, it had recovered to $117,000.\u00a0<\/p>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"603\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/img-f3c9686a1e11f7a5-4572264993670084-1024x603.png\" alt=\"image\" class=\"wp-image-265929\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/img-f3c9686a1e11f7a5-4572264993670084-1024x603.png 1024w, https:\/\/forklog.com\/wp-content\/uploads\/img-f3c9686a1e11f7a5-4572264993670084-300x177.png 300w, https:\/\/forklog.com\/wp-content\/uploads\/img-f3c9686a1e11f7a5-4572264993670084-768x452.png 768w, https:\/\/forklog.com\/wp-content\/uploads\/img-f3c9686a1e11f7a5-4572264993670084-1536x904.png 1536w, https:\/\/forklog.com\/wp-content\/uploads\/img-f3c9686a1e11f7a5-4572264993670084.png 2048w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Hourly chart of BTC\/USDT on Binance. Source: <a href=\"https:\/\/ru.tradingview.com\/chart\/?symbol=BINANCE%3ABTCUSDT\">TradingView<\/a>.\u00a0<\/figcaption><\/figure>\n<p>Ether rose 0.9% over the past 24 hours to $4560.\u00a0<\/p>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"602\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/img-29a95991af149f84-4572278690676185-1024x602.png\" alt=\"image\" class=\"wp-image-265930\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/img-29a95991af149f84-4572278690676185-1024x602.png 1024w, https:\/\/forklog.com\/wp-content\/uploads\/img-29a95991af149f84-4572278690676185-300x176.png 300w, https:\/\/forklog.com\/wp-content\/uploads\/img-29a95991af149f84-4572278690676185-768x452.png 768w, https:\/\/forklog.com\/wp-content\/uploads\/img-29a95991af149f84-4572278690676185-1536x903.png 1536w, https:\/\/forklog.com\/wp-content\/uploads\/img-29a95991af149f84-4572278690676185.png 2048w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Hourly chart of ETH\/USDT on Binance. Source: <a href=\"https:\/\/ru.tradingview.com\/chart\/?symbol=BINANCE%3AETHUSDT\">TradingView<\/a>.\u00a0<\/figcaption><\/figure>\n<p>Among the top ten cryptocurrencies by market value, Solana, Dogecoin and Cardano posted the biggest gains. BNB also made the leaderboard, having <a href=\"https:\/\/forklog.com\/en\/news\/bnb-hits-new-high-amid-speculation-of-binances-regulatory-exit-in-the-us\">set a new all-time high<\/a> of $994 on September 18.\u00a0<\/p>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"665\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/img-e7479c3fe48c84db-4572299046414233-1024x665.png\" alt=\"image\" class=\"wp-image-265931\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/img-e7479c3fe48c84db-4572299046414233-1024x665.png 1024w, https:\/\/forklog.com\/wp-content\/uploads\/img-e7479c3fe48c84db-4572299046414233-300x195.png 300w, https:\/\/forklog.com\/wp-content\/uploads\/img-e7479c3fe48c84db-4572299046414233-768x498.png 768w, https:\/\/forklog.com\/wp-content\/uploads\/img-e7479c3fe48c84db-4572299046414233-1536x997.png 1536w, https:\/\/forklog.com\/wp-content\/uploads\/img-e7479c3fe48c84db-4572299046414233.png 2048w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Source: <a href=\"https:\/\/www.coingecko.com\/\">CoinGecko<\/a>.\u00a0<\/figcaption><\/figure>\n<p>The Fear and Greed Index remains in neutral territory\u2014down one point over the past 24 hours and now at 52.\u00a0<\/p>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"456\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/img-1114e39ed2db5401-4572313589170512-1024x456.png\" alt=\"image\" class=\"wp-image-265932\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/img-1114e39ed2db5401-4572313589170512-1024x456.png 1024w, https:\/\/forklog.com\/wp-content\/uploads\/img-1114e39ed2db5401-4572313589170512-300x134.png 300w, https:\/\/forklog.com\/wp-content\/uploads\/img-1114e39ed2db5401-4572313589170512-768x342.png 768w, https:\/\/forklog.com\/wp-content\/uploads\/img-1114e39ed2db5401-4572313589170512-1536x685.png 1536w, https:\/\/forklog.com\/wp-content\/uploads\/img-1114e39ed2db5401-4572313589170512.png 1566w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Source: <a href=\"https:\/\/alternative.me\/crypto\/fear-and-greed-index\/\">Alternative.me<\/a>.\u00a0<\/figcaption><\/figure>\n<h2 class=\"wp-block-heading\">What next?\u00a0\u00a0<\/h2>\n<p>At a press conference, Fed chair Jerome Powell <a href=\"https:\/\/www.federalreserve.gov\/live-broadcast.htm\">said<\/a> the <span data-descr=\"Federal Open Market Committee\" class=\"old_tooltip\">FOMC<\/span> had not reached a consensus on further monetary easing.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cTen of the 19 Committee members project two or more cuts in the policy rate by year-end, while nine project either fewer cuts or none at all,\u201d he said.\u00a0<\/p>\n<\/blockquote>\n<p>According to the median projections in the Fed\u2019s quarterly Summary of Economic Projections, rates are expected to be:\u00a0<\/p>\n<ul class=\"wp-block-list\">\n<li>3.6% by the end of 2025;<\/li>\n<li>3.4% by the end of 2026;<\/li>\n<li>3.1% by the end of 2027.<\/li>\n<\/ul>\n<p>Ahead of the meeting, experts were split on how the Fed\u2019s decision would affect bitcoin. Fundstrat co-founder and BitMine chairman Tom Lee <a href=\"https:\/\/forklog.com\/en\/news\/tom-lee-predicts-a-grand-rally-for-bitcoin-and-ethereum-in-the-fourth-quarter\">predicted<\/a> a \u201cgrand rally\u201d in bitcoin and Ethereum next quarter.\u00a0<\/p>\n<p>He said the price of digital gold <a href=\"https:\/\/forklog.com\/en\/news\/experts-outline-market-dynamics-before-and-after-fed-meeting\">could<\/a> reach $200,000 by year-end.\u00a0<\/p>\n<p>Crypto analyst Ted Pillows <a href=\"https:\/\/forklog.com\/en\/news\/experts-divided-on-feds-impact-on-bitcoin\">forecast<\/a> a correction in the first cryptocurrency to $92,000 before a new leg higher.\u00a0<\/p>\n<p>In the view of Kraken economist Thomas Perfumo, the market will rise\u2014but not yet. He believes further cuts to the key rate will matter most for digital assets.\u00a0<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cInvestors are projecting rate normalisation around 3\u20133.5%. Given the non-linear impact on asset prices, the next 100-basis-point reduction could have a more significant effect than the previous one,\u201d he said in a comment to <a href=\"https:\/\/www.theblock.co\/post\/371068\/fed-cuts-rates-by-25bps-as-trump-pushes-for-more-crypto-markets-eye-liquidity-boost\">The Block<\/a>.\u00a0<\/p>\n<\/blockquote>\n<p>Earlier, the co-founder of the ETH Strategy protocol, known as Clouted, <a href=\"https:\/\/forklog.com\/en\/news\/expert-declares-dollar-useless-amid-bitcoins-rise\">said<\/a> the dollar was \u201cuseless\u201d amid bitcoin\u2019s rise.\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Fed cut its key rate by 0.25 points to 4\u20134.25%. The outcome matched expectations and markets were muted.<\/p>\n","protected":false},"author":1,"featured_media":89026,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"Investors expect further monetary easing","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[18,46,1249],"class_list":["post-89025","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-bitcoin","tag-ethereum","tag-federal-reserve-system"],"aioseo_notices":[],"amp_enabled":true,"views":"222","promo_type":"1","layout_type":"1","short_excerpt":"Investors expect further monetary easing","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/89025","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=89025"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/89025\/revisions"}],"predecessor-version":[{"id":89027,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/89025\/revisions\/89027"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/89026"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=89025"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=89025"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=89025"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}