Market Consensus Points to December Rate Cut
Polymarket data indicates an 87% market consensus for a 25 basis point rate cut by the Federal Reserve in December 2025, reflecting growing anticipation among investors.
This expected rate cut is influencing cryptocurrency markets, which often react positively to looser monetary policies by central banks.
Investor reactions reflect strong expectations for a rate cut. While specific high-profile endorsements or critiques remain absent, market movements suggest participants are aligning investments with these forecasted changes. The anticipation is also reverberating through related sectors.
Bitcoin (BTC) currently trades at $90,701.63 with a market cap of 1.81 trillion, as per CoinMarketCap data. BTC dominates 58.45% of the market, with a fully diluted market cap of 1.90 trillion and a 24-hour trading volume of 56.84 billion, reflecting a 14.96% change. Notably, BTC's price trends show a 7.52% rise over seven days, offset by declines over 30, 60, and 90-day periods, last updated at 06:21 UTC on November 29, 2025.
"Polymarket shows a total volume traded of over $184 million on the December Fed rate cut prediction market, indicating significant capital allocated by market participants to these bets." — Joshua Frost, Founder, Polymarket
Cryptocurrencies Poised for Movement Amid Economic Policy Shifts
Did you know? During times of similar rate cut expectations in the past, cryptocurrencies often experienced increased investment inflows due to shifts in risk and liquidity preferences, enhancing valuations and investor interest.
The Coincu research team suggests any Federal Reserve rate cut could amplify capital into Bitcoin and other cryptocurrencies, responding to enhanced liquidity. Nonetheless, long-term implications depend on wider macroeconomic factors and regulatory developments. This uncertainty secures investor attention through diversified risk analyses.
Market participants are preparing for the Federal Reserve's decision, which could influence liquidity and risk appetite within the crypto sector. Historically, such shifts in policy result in alterations to asset valuations, especially in the cryptocurrency domain.