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Bitcoin And Crypto Market Set To Bounce As Rate Cut Probabilities Touch 98.3%

The next Federal Open Market Committee (FOMC) meeting is fast approaching, and the bets are already pouring in as to what it would mean for the Bitcoin and crypto industry. The last FOMC meeting took place in September, when the Federal Reserve ended up cutting rates down to 4-4.25% after months of no rate cuts. With this setting the tone, the expectations that another rate cut could be on the way are getting louder, with the FedWatch Tool showing a high percentage.

Market Expects Another Rate Cut To 3.75-4%

The next FOMC meeting is scheduled for Wednesday, October 29, 2025, and there is already a major clamor around what the Fed is planning on doing. The current market headwinds point to a favorable outcome for risk assets such as Bitcoin and other cryptocurrencies, with expected rate cuts.

Currently, the CME FedWatch Tool is showing that the probability of a rate cut has risen to 98.3% as of the time of this writing. This leaves only a 1.7% chance that the Federal Reserve will actually leave rates at their current levels, and there is zero chance that there will be a rate hike.

Fed FOMC

A reduction in the rate cuts is good for businesses all around, as lower interest rates mean better loan terms and increased spending and borrowing. Thus, it will increase the participation in the markets, from consumer goods to the stock market, and then make its way into newer markets such as Bitcoin and crypto.

Expectations For Bitcoin And Crypto Are Getting Higher

A rate cut by the Federal Reserve aligns with the more pro-crypto stance that the United States has been moving in since President Donald Trump was elected. Last week, the president pardoned the Founder and former CEO of the Binance crypto exchange, Changpeng Zhao, after he previously pled guilty to money laundering violations back in 2024. Zhao has since served a 4-month stint before the pardon from Trump came.

With the US embracing Bitcoin and crypto again, a rate cut will only further the ascent, allowing more investors to get into the market as liquidity frees up. The initial announcement has been known to trigger a rapid increase in the market. But as the news settles, the crypto market is expected to continue to rise in response.

However, nothing is certain until the FOMC meeting is complete and the announcement is made. For the Bitcoin and crypto market to remain bullish, inflation will also have to be reduced, as an increase could trigger more conservative stances from investors.

Bitcoin price chart from Tradingview.com (crypto)

100% Of Bitcoin Bull Market Peak Indicators Remain Untouched, Is There Still Room To Run?

Over the years, a number of indicators have emerged that have often helped to pinpoint the Bitcoin bull market peak. These indicators have been triggered in previous cycles, and their triggers have often been a signal that it was time to get out of the market, as a new bear market is underway. However, this time around, even with the Bitcoin price hitting multiple new all-time highs, none of these cycle peak indicators have been triggered, suggesting that the market top has yet to be reached.

0 Out Of 30 Bull Market Peak Indicators Triggered

The Bull Market Peak Indicator tracker on the Coinglass website follows a total of 30 indicators that follow 30 indicators that show the progress of the Bitcoin bull market toward reaching a top. Some major ones include the Bitcoin Bubble Index, the Puell Multiple, the Bitcoin Rainbow Chart, and the Altcoin Season Index, among others.

Usually, these indicators are tracked on a scale of 0-100%, with 0% meaning that it is far from being triggered and 100% showing that an indicator has been triggered. If only a few of these get to the 100% mark and are triggered, it usually doesn’t mean that the Bitcoin peak has been reached.

However, even now, not one of these indicators has been triggered. Most continue to remain quite low, while the likes of the Bitcoin dominance are high, but still have not been triggered. For there to be a definite progress toward the Bitcoin market peak, at least half of these would have to be triggered.

Bitcoin bull market peak indicator 1

What This Means For Investors

Since none of the bull market peak indicators have been triggered, it means that the Bitcoin price might actually be far away from its all-time high. With the score still being 0 out of 30, it points to this being a time to hold, despite the declines that the market has suffered recently.

According to a previous report from Bitcoinist, this was the case a few months ago, and now two months later, the tracker remains the same. Thus, it could be that $126,000 is not the all-time high for Bitcoin, and that the market could end up getting an altcoin season after all.

In the case that more than half of the bull market peak indicators do get triggered, then it means that the top of the market is getting close. Once it gets to 30/30, then it signals the start of the next bear market, and this is when selling is at its highest in the market, leading to rapid price declines across the board.

Bitcoin price chart from Tradingview.com

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