Fed’s 25bps Cut: Bitcoin’s Secret Plan for October Domination!

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The Key Takeaways (Or Why the Fed is the Real MVP of This Story)

How is BTC reacting to the Fed’s rate cut?

Bitcoin, that most capricious of assets, is grinding along at +0.72%, as if it’s trying to decide whether to dance or sulk. The flows are measured, and the long squeeze is as subtle as a peacock in a pigeon coop. 🐦💰

What’s the Secret Sauce for Bitcoin’s Year-End Spectacle?

The Fed’s dove-like coos, the seasonal winds of change, and macro flows aligned like a perfectly orchestrated symphony, all hint at Bitcoin’s potential for an ATH (All-Time High) that would make even a Victorian debutante blush. 🎻✨

No parabolic spirals, just Bitcoin, that most stubborn of creatures, grinding along at +0.72% as the FOMC delivers its first 25 bps cut of 2025. The tape is cautious, as if it’s waiting for the tea to cool before making a move. 🍵

What, pray tell, is the takeaway?

The market is still sizing up Q4, with Fed Chair Powell’s mixed signals on future rate cuts keeping flows measured, as Matt Mena, Crypto Research Strategist at 21Shares, told AMBCrypto. 🤔

“The cut itself was as anticipated as a well-timed punchline-what truly mattered was the Fed’s updated dot plot. Futures markets had been discounting only a 50% chance of 4-5 cuts through the end of next year.”

He added,

“While today’s 25bps cut provided the spark, it is the path implied by the dots-more than the cut itself-that may set the stage for Bitcoin to challenge new highs into year-end.”

Fed’s Dot Plot: The Real Drama Behind Bitcoin’s Long-Term Gambit

Bitcoin traders, ever the sycophants, are leaning on the Fed’s dot plot to size up their positioning. 📊

According to the latest projections, the Fed is signaling two more 25bps cuts by year-end, pushing the target range down to 3.50%-3.75% from 4.00%-4.25%. In short, Bitcoin’s long-term positioning remains dovish. 🐦💤

Powell’s inflation caution capped the short-term squeeze, keeping the tape range-bound. Yet the dot plot shows most Fed officials leaning toward two more cuts, keeping BTC positioned to grind toward new highs by year-end. 📈

“The dots leaned more dovish, signaling the Fed is open to accelerating the pace of easing if conditions demand it. That repricing risk is now front and center-creating an asymmetric setup for Bitcoin.”

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2025-09-18 12:12