The Fed’s expected rate cut could boost liquidity and investor appetite for risk assets, creating strong bullish potential for crypto. Even if the broader economy reacts slowly, crypto often moves earlier based on expectations, making a positive market reaction likely once the rate cut is confirmed.

According to PANews, the CME's "FedWatch" tool indicates an 87% probability that the Federal Reserve will cut interest rates by 25 basis points in December. The likelihood of maintaining the current rate is at 13%. Looking ahead to January, the probability of a cumulative 25 basis point rate cut stands at 64.1%, while the chance of keeping rates unchanged is 9%. Additionally, there is a 27% probability of a cumulative 50 basis point rate cut by January.