Bitcoin Stalls as Markets Await Fed Tone on Future Cuts

Bitcoin

Bitcoin Stalls as Markets Await Fed Tone on Future Cuts

Bitcoin’s latest pause under the $92,000 mark has not dampened optimism across the analyst community – but it has sharpened focus on Wednesday’s Federal Reserve decision, which could determine whether the market accelerates or stalls into year-end.

After briefly reclaiming higher levels, Bitcoin drifted back toward $90,000 as traders positioned themselves ahead of the Fed interest rate announcement. While a 25-basis-point cut appears almost certain, the market is increasingly convinced that comments from Fed Chair Jerome Powell will be more influential than the cut itself.

Key Takeaways

  • Bitcoin slipped toward $90K as markets await Fed guidance.
  • Standard Chartered sees a December cut but expects prolonged rate stability.
  • Citi believes further cuts in early 2026 are possible.

With confidence fragile and risk appetite uneven, BTC’s ability to reclaim upward momentum hinges on whether Powell signals extended easing or advocates caution.

Analysts See Divided Paths for the Fed — and Bitcoin

Standard Chartered expects a December rate reduction but argues the decision itself may be closer than consensus assumes. Analysts at the bank believe limited economic visibility during the government shutdown deepened internal disagreements within the Fed and that policymakers may hold rates flat for a lengthy period after this week’s move.

Citigroup, meanwhile, sees a softer tone emerging. While it agrees a cut this week is likely, Citi forecasts follow-up reductions early next year. The bank expects the Fed to react to gaps in inflation and labor data and prioritize downside risk management rather than aggressively telegraphing future tightening or tightening pauses.

Both banks highlight the same complication: incomplete data makes it difficult for Powell to set expectations with confidence, raising the prospect of a “meeting-by-meeting” communication style — a setup that heightens volatility for assets like Bitcoin.

Van de Poppe: Dip Could Be a Buying Window Before Holiday Move

Trading firm founder Michaël van de Poppe added another layer to the market narrative, arguing that Bitcoin remains positioned for upside despite short-term hesitation. He described BTC as still “following a bullish path” and suggested that market reaction to the U.S. open could provide the dip buyers are waiting for.

According to his analysis, if price holds current ranges and breaks key resistance, Bitcoin may resume momentum into late December, potentially pushing toward the $100,000 mark ahead of Christmas. His thesis hinges on liquidity flows and investor confidence — both of which he expects to improve once U.S. markets digest the Fed update.

Van de Poppe’s chart highlighted a key resistance area just below $100,000, alongside the assertion that liquidity remains ready to be activated if sentiment turns constructive. He argued that breaking current structure could unlock a “higher-timeframe continuation,” allowing Bitcoin to end the year higher with what he described as “happy holidays” for bulls.

A Market Caught Between Macro Forces and Technical Hope

The interplay between macro risk and technical enthusiasm leaves Bitcoin precariously positioned. Traders want confirmation — not just of a rate cut, but that easing won’t stop there — while chart analysts believe momentum could return quickly if the Federal Reserve delivers a supportive tone.

For now, Bitcoin looks directionless, yet far from defeated. Tomorrow’s policy announcement could determine whether the next phase is a drift deeper into consolidation or the launchpad for a December sprint into five-figure territory.


The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.

Author

Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.

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