FOMC rate cut expectations are actually driving Bitcoin toward the critical $123K resistance level right now as the Federal Reserve prepares its September 17 policy announcement. The FOMC meeting today could trigger significant FOMC bitcoin impact, and analysts are mapping precise price targets around the anticipated 25 basis point cut. Current FOMC news suggests Bitcoin’s path to $123K depends on maintaining support above key technical levels during today’s FOMC decision.

FOMC Bitcoin Impact: Meeting Today, News & Market Reaction Guide

Source: Bankrate

Critical FOMC Price Levels for Bitcoin

Bitcoin is currently trading between $114,600 and $117,100 as the FOMC meeting approaches. According to Glassnode analysis, Bitcoin continues to respect short-term holder cost basis bands, with failure to hold 1-month and 3-month realized price levels potentially signaling momentum loss ahead of the FOMC announcement.

Risk indicator chart showing Bitcoin realized price by short-term age cohorts
Risk indicator chart showing Bitcoin realized price by short-term age cohorts – Source: GlassNode

The data shows that Bitcoin continues to respect the short-term holder cost basis bands, and failing to hold the 1-month and 3-month realized price levels would confirm a lack of momentum in the market.

Nik Patel from Ostium Research stated:

“This is now the line in the sand for short-term bullishness”

The $112K level represents the crucial support, and a break below would actually reopen routes to $107K and potentially even $99K. For the upside of the Fed Open Market Committee bitcoin scenario, clean acceptance above $120K would trigger a swift run toward the $123K target.

Expert FOMC Predictions and Market Scenarios

Peter Schiff had this to say about market dynamics:

“Despite gold holding firmly in new record territory today, poised to break above $3,700, gold mining stocks are lower on the day as skittish traders take profits ahead of tomorrow’s FOMC announcement and Powell press conference. I expect buyers to come rushing back in soon.”

The connection between traditional assets and Bitcoin becomes evident during FOMC events, with both gold and crypto responding to liquidity changes from Fed policy shifts along with other risk assets.

Crypto strategist Biupa explained the current Fed Open Market Committee scenario:

“The most likely scenario currently is a 25 basis point cut, with a very high, exceeding 90% The market has already priced in a 25 basis point cut but after all, at the time of each release more liquidity the market has already moved ahead of the FOMC, and a 25 basis point cut may continue to drive an upward trend.”

Also Read: Altcoins to Buy Before FOMC—Whales Are Betting Big on These!

FOMC Meeting Timing and Bitcoin Strategy

The announcement will be made at 2:00 PM ET by the Open Market Committee of the Fed, and the subsequent press conference of Powell at 2: 30 PM also marked the day-critical trigger point in the price of bitcoin in the FOMC. The Market positioning reflects a 68.8% bullish market position currently, and the traders are gearing towards the anticipated lowered rate.

The trading approaches are pegged on the breakout level at 117, 900, successful breach of which might in fact increase the velocity with which Bitcoin would hit its 123K resistance. Possible pullbacks to the support of $113,300 -110,000 in case profit taking takes place after the FOMC.

Also Read: FOMC Meeting Could Trigger Bitcoin’s Price Surge by January End

The arrangement is similar to September 2024 when the first Bitcoin weakness after rate cuts later gave way to doubling above an all-time high of 100K by the end of the year, which might imply that the FOMC result today will be used to create the same bullish signal on the 123K target.

  • bitcoin
  • btc
  • Fed
  • FOMC
  • Interest Rate Cuts