Bitcoin awaits Fed rate decision below $76K as analysis discounts ‘dovish surprise’ odds

Bitcoin (BTC) stayed near monthly lows at Wednesday’s Wall Street open as markets awaited the US Federal Reserve’s decision on interest rates.

Key points:

• Bitcoin continued to trade under $76,000 into the Federal Reserve interest-rate decision. It stands near its lowest levels since Aug. 21.
• Markets saw nearly 93% odds of the Fed enacting a 0.25% rate hike, bringing the federal funds rate to 3.75-4%.
• Onchain support thickened at $68,000 as bid liquidity moved toward the current spot price.

Fed rate-hike odds pass 90% despite Trump demands

Data from TradingView showed BTC/USD trading below $76,000 after hitting new September lows of $74,960 the day prior.

BTC/USD one-hour chart. Source: Cointelegraph/TradingView

The weakness occurred as the CLARITY Act failed to garner enough votes in the Senate to advance to the debate stage, falling short of the 60 required. Now, attention has turned to the Fed, as it is facing a balancing act between taming inflation and satisfying the demand of US president Donald Trump, who has repeatedly demanded that rates be cut.

The latest data from CME Group’s FedWatch Tool put the odds of officials confirming a 0.25% rate hike at over 90% at the time of writing, bringing the federal funds rate to 3.75-4%.