Technical Analysis: Federal Reserve Foresees Rate Cut in September 2025

According to the data from the CME FedWatch, there is a 96.6% probability that the Federal Reserve will implement a 25 basis point cut at its next meeting in September, while there is only a 3.4% probability that it will keep interest rates unchanged.

For the October meeting, the odds of keeping rates unchanged decrease even further, standing at just 1.6%. The data shows a 46.8% probability for a cumulative cut of 25 basis points, while the option of a cumulative cut of 50 basis points reaches a 51.6% probability.

This expected monetary easing cycle by the Federal Reserve could have significant implications for financial markets. Historically, interest rate cuts tend to reduce borrowing costs and stimulate economic growth, factors that usually influence various sectors of the market, including digital assets.

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