Bitcoin (BTC) Prices have exceeded 2.60% over the past 7 days. This development suggests a recovery in price outlook amid a highly trained third quarter trend. However, the expected interest rate cuts by the US Federal Reserve could have a major impact on Bitcoin and other crypto assets.
Fed’s reserve interest rate reduction and Bitcoin price outlook
As Highlighted In a post from WU Blockchain, financial markets expect the US Fed to begin cutting interest rates. The first 25 base shift is expected to reduce interest rates from 4.0% to 4.25%. A general expectation is that the Fed will implement six interest rate cuts between now and 2026.
QCP: The FRB is expected to be reduced to 4.00-4.25% with a 25 bp cut, and will begin the mitigation cycle with pricing of six reductions until 2026. The focus is on the SEP and Powell’s coaching press conference. Risk assets have recovered, but we can test dot plots and harder messages changes…
– WU Blockchain (@wublockchain) September 17, 2025
If this occurs, the borrowing costs will be significantly lower and the money will be cheaper. In anticipation, stocks and other risk investments like Tech Equities are beginning to rally in the financial markets. This rally comes as investors look forward to liquidity where low interest rates are released.
However, US Federal Reserve Chair Jerome Powell is able to maintain a more cautious attitude towards inflation and is not willing to cut it. Such a thing Hawkish’s temperament It could lead to a market sale.
In particular, the crypto sector is lagging behind despite wider financial market expectations for crypto assets. Generally, there is a drop in interest rates and more liquidity that catalyze investors to adopt Bitcoin.
Bitcoin price performance and institutional demand
At this time, Bitcoin prices do not show significant growth consistent with broader market activity.
As of the time of reporting, the price of Bitcoin is change Hands of $116,199.61 representing a 0.65% increase over the last 24 hours. The coin had previously reached an intraday peak of $117,328.61 before posting the correction.
Despite the revisions, trading volumes rose 17.09% to $50.1 billion. This suggests that market participants are bullish about price outlook.
Institutional interest continues to grow as the crypto community continues to predict. For example, strategy, business intelligence companies, I’ll keep hiding bitcoin Through strategic accumulation. Similarly, the inflow of Bitcoin Exchange Sales Funds (ETFs) continues to skyrocket.
