Bitcoin Price Surges Past $117K Amid Fed Rate Cut Anticipation

By: crypto insight|2025/09/18 16:30:21

Bitcoin’s recent climb has everyone talking, as it pushes boundaries that feel both exciting and nerve-wracking for traders. Imagine riding a wave that’s building higher, with the Federal Reserve’s decisions acting like the wind in your sails. On Wednesday, Bitcoin broke through to a four-week peak above $117,000, sparking conversations about what’s next in this volatile market. Investors are on edge, preparing for potential swings tied to Jerome Powell’s remarks following the FOMC meeting, which could steer BTC toward crucial price points.

Fed Rate Cuts Now a Certainty at 100%

Picture this: the odds of an interest rate cut have solidified to a full 100% for the recent FOMC gathering, based on the latest updates from reliable tracking tools like CME’s FedWatch. As of today, September 18, 2025, following yesterday’s announcement, the Fed indeed delivered a 25 basis point reduction, aligning with the overwhelming 96% probability that was building up. There’s also a slim 4% chance that had pointed to a more aggressive 50 bps slice, but the market leaned heavily toward the conservative move.

Bettors on platforms like Polymarket echoed this sentiment, pricing in a 93% likelihood for the 25 bps cut and just 5% for the bolder 50 bps option. These predictions have paved the way for expectations of three cuts by year’s end, drawing parallels to how past monetary easing has fueled crypto rallies, much like adding fuel to a fire that’s already smoldering.

Even so, some experts argue that the market had already baked in much of this volatility from the rate adjustments. Now, the spotlight shifts to Fed Chair Jerome Powell’s post-meeting comments. Powell, facing calls from figures like President Donald Trump to ease rates further, had earlier signaled readiness for changes given the cooling inflation and softening job market. His words during the FOMC press conference are being dissected for any hints of a pivot, potentially influencing Bitcoin’s trajectory like a captain adjusting course mid-voyage.

Traders Eye Volatility as Powell Takes Center Stage

In a recent social media update, private wealth managers at Swissblock highlighted how markets were fixated on the FOMC outcome, with the 25 bps cut fully anticipated. They emphasized that Powell’s delivery would be under intense scrutiny for subtle clues. “Markets are locked on the FOMC Wednesday, with a 25 bps cut priced in,” they noted, adding that traders should watch for Powell’s hints. They warned of guaranteed ups and downs, suggesting that Bitcoin’s Risk Index could signal if the bullish trend persists or if a downturn is brewing—think of it as a weather vane in a storm.

Analysts like AlphaBTC have speculated that Bitcoin might first spike toward $118,000 before pulling back once the FOMC details were confirmed. As we look at the latest figures today, Bitcoin has indeed tested those levels, climbing to around $119,500 in early trading on September 18, 2025, according to real-time market data from sources like TradingView. This movement underscores how external factors, such as Fed policies, can amplify crypto’s natural ebb and flow, contrasting with more stable assets like bonds that react differently to rate shifts.

Bitcoin’s Path Forward: Breaking Key Barriers

To sustain its upward momentum and chase all-time highs, Bitcoin needs to convert the $118,000 resistance into a solid support zone, opening doors to uncharted territory. Crypto analyst Jelle captured this sentiment in a Wednesday post, saying Bitcoin is steadily advancing into the $116,500-$118,000 resistance band. “Break 118K and hold above it, and new all-time highs are next,” he shared, painting a picture of a climber nearing the summit.

Live data from market trackers shows Bitcoin challenging the resistance span from $117,500 to $118,500, which analyst Michael van de Poppe described as a promising attack. In his September 17, 2025, social media update, he posted: “Bitcoin attacking the range resistance pre-FOMC could be a great sign. Quite usually it’s just a run before a drop. We’ll see. It’s going to be fun!” Accompanying visuals illustrated the potential for upward breaks.

Van de Poppe’s insights suggest that surpassing $118,000 could ignite a surge to $120,000 and eventually revisit the peak of $124,500. On the flip side, support lingers between $116,800 and $114,500, a range that held firm from September 10 through Tuesday. A deeper dip might test the $112,000 mark, coinciding with the 100-day simple moving average—a level that’s proven resilient in past corrections, much like a safety net catching a tightrope walker.

This isn’t investment advice, of course—every trade carries risks, and it’s wise to do your own homework before diving in.

Aligning with Reliable Platforms in Volatile Times

In this fast-paced crypto landscape, aligning with a trusted exchange can make all the difference, offering stability amid the Fed-induced swings. WEEX stands out as a secure and user-friendly platform, empowering traders with advanced tools for spot and futures trading on Bitcoin and other assets. Its robust security features and intuitive interface help users navigate market volatility with confidence, enhancing overall trading strategies without unnecessary complications. By focusing on reliability and innovation, WEEX builds credibility, making it a go-to choice for those looking to capitalize on opportunities like the current Bitcoin uptrend.

Latest Buzz: Google Searches and Twitter Chatter

Diving into what’s hot online, recent Google trends show surges in queries like “What happens to Bitcoin after Fed rate cuts?” and “How do interest rates affect crypto prices?”, reflecting widespread curiosity about monetary policy’s ripple effects. On Twitter, discussions are ablaze with posts analyzing Powell’s speech, including viral threads from influencers debating if the 25 bps cut will propel BTC to $130,000 by year-end. Official Fed announcements from September 17, 2025, confirmed the rate adjustment, sparking debates on whether this mirrors 2023’s easing cycle, which boosted crypto by over 150%. Meanwhile, fresh updates from analysts like Bitfinex note Bitcoin’s consolidation at $116K resistance until it’s firmly overcome, backed by on-chain data showing increased whale activity post-FOMC.

These elements highlight how Fed moves create real-world impacts, supported by historical evidence where rate cuts have often correlated with Bitcoin gains of 20-50% in subsequent months, making the current setup feel like a familiar yet thrilling rerun.

FAQ

What impact do Fed rate cuts have on Bitcoin’s price?

Fed rate cuts typically lower borrowing costs, encouraging investment in riskier assets like Bitcoin. This can drive up demand and prices, as seen in past cycles where easing led to significant BTC rallies, though market conditions always play a role.

How can traders prepare for volatility around FOMC meetings?

Traders often monitor tools like the CME FedWatch for probabilities and set stop-loss orders to manage risks. Staying updated on Powell’s comments helps anticipate swings, turning potential chaos into strategic opportunities.

Is now a good time to invest in Bitcoin following the recent rate cut?

It depends on your risk tolerance and research. With Bitcoin breaking key resistances post-FOMC, some see upside potential toward all-time highs, but volatility remains high—always consider diversified strategies and consult reliable data before deciding.

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