Bitcoin’s future hinges on Jerome Powell’s remarks as markets anticipate the Federal Reserve’s first rate cut in over a year. The CME FedWatch tool shows a 94% probability of a 0.25% cut, with Polymarket punters giving an 90% chance. Market experts anticipate selling post-cut, with potential for a short-term pull-back.

Bitcoin and Ethereum have seen modest gains this week. After trading in tandem with the Nasdaq, Bitcoin now awaits a rate cut to attract new investments. Historically, lower rates favor cryptocurrencies, but failure to rally could confirm critics’ views on crypto as a speculative asset.

Scott Melker predicts a “hawkish rate cut” from the Fed, suggesting a 0.25% cut with language dampening hopes for aggressive easing. A surprise 50 basis point cut could trigger a significant crypto rally, according to Kyle Chasse. Pedro Solimano is DL News’ markets correspondent based in Buenos Aires.

Read more at Yahoo Finance: The Fed’s decision on interest rates is today. Here’s where experts see Bitcoin price heading