Can Bitcoin Go Up Again after the FOMC Meeting Last Week?

Bitcoin traders are closely watching the market after the Federal Reserve’s latest decision to cut interest rates by 25 basis points. While this shift toward looser monetary policy usually supports risk assets, Bitcoin failed to sustain momentum above the $115,000 mark.

The muted reaction highlights market caution. Investors are waiting for more clarity from the Fed on future cuts, inflation trends, and the overall economic outlook before making strong moves into Bitcoin or other digital assets.

Bitcoin Price After the FOMC Meeting

Following the rate cut, Bitcoin briefly tested levels above $115,000 but quickly faced consolidation. Spot demand has faded, showing that traders remain hesitant despite a supportive macro backdrop.

For many, the key technical level is whether Bitcoin can maintain support around $115,000. A breakdown could send the price toward $112,000, while holding strong may set the stage for a new bullish leg.

How Fed Rate Cuts Could Influence Bitcoin

The Federal Reserve signaled the possibility of an additional 50 basis points of cuts later in 2025. If confirmed, this dovish stance could boost liquidity and risk appetite, creating favorable conditions for Bitcoin to rise.

Historically, Bitcoin has benefited during periods of easing monetary policy, as investors seek alternative stores of value and hedge against inflationary risks. The crypto market will be sensitive to every Fed communication in the coming months.

Key Factors That Could Drive Bitcoin’s Next Move

Several elements will determine Bitcoin’s trajectory after the FOMC decision:

• Whether the Fed minutes or speeches confirm more rate cuts
• Inflation data and employment numbers in the US
• Broader risk sentiment across global markets
• Institutional demand and spot Bitcoin ETF flows
• Technical levels around $112,000–$115,000

The balance of these forces will decide whether Bitcoin regains upward momentum or enters a deeper correction.

Read more: Is the Federal Reserve Leaning More Towards Crypto?

Final Thoughts

Bitcoin’s reaction to the FOMC meeting shows that monetary easing alone is not enough to trigger a breakout. The next moves depend on whether dovish signals align with supportive economic conditions and renewed investor demand.

If Bitcoin can hold above key support and the Fed continues cutting rates, the probability of another rally increases. However, persistent inflation concerns or hawkish surprises could weigh on the price in the near term.

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FAQ

Why didn’t Bitcoin rally after the FOMC rate cut?

The initial market response was muted because traders are waiting for more clarity on inflation, employment data, and further Fed guidance.

What price level is critical for Bitcoin now?

Bitcoin must hold above $115,000 to maintain bullish momentum. Falling below could trigger a move toward $112,000.

How do rate cuts affect Bitcoin?

Rate cuts typically increase liquidity and encourage investment in risk assets like Bitcoin, though the impact depends on broader economic conditions.

Could Bitcoin rise if the Fed cuts rates again?

Yes, additional rate cuts in 2025 could provide a supportive environment for Bitcoin to climb, especially if inflation remains under control.

What should traders watch next for Bitcoin?

Traders should monitor Fed minutes, inflation reports, and technical support levels, as these will shape near-term price action.