CME Signals December Rate Cut; Crypto Markets React

CME’s ‘FedWatch’ indicates a 64.5% chance of a 25 basis point Federal Reserve rate cut in December, impacting Bitcoin, Ethereum, and altcoin markets with notable sell-offs.

This potential rate cut has led to intense market volatility, with Bitcoin dropping significantly, highlighting the sensitivity of cryptocurrency markets to macroeconomic policies.

CME Projects 64.5% Chance of December Rate Cut

CME’s FedWatch tool reports a potential rate cut in December at 64.5%, with a 35.5% chance of no change. This forecast follows ongoing monetary policy expectations and has broader market implications.

Crypto markets have shown volatility, demonstrated by over $2 billion in liquidations, with Bitcoin and Ethereum experiencing notable price fluctuations. These reactions are compounded by institutional moves, such as BlackRock’s significant ETH deposit to Coinbase.

Crypto community figures, including Binance co-founder He Yi, have commented on market patterns, noting historical cycles and forecasting future recoveries. He Yi stated, “Today, Bitcoin just dropped from $120,000 to the $100,000 range… History does not repeat itself, but it does rhyme. DYOR.”

Bitcoin Falls 6.8% Amid Market Turbulence

Did you know? Historical market reactions to Federal Reserve pivots have frequently led to volatility and rallies in the cryptocurrency sector, reverberating through asset prices and sentiment.

According to CoinMarketCap, Bitcoin (BTC) trades at $103,684.90 with a market cap of 2.07 trillion, falling 6.80% over seven days. The 24-hour trading volume stands at 105.83 billion, marking a 25.72% fluctuation. Market dominance is 59.83%, last updated on November 5, 2025.

Coincu research highlights potential regulatory impacts from changing monetary policies. Market participants should monitor institutional activities and policy shifts as potential drivers of both short-term and structural market changes.