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FOMC Sept 17 Rate Cut Decision: Bobby Ong Maps 2 Crypto Scenarios and High Volatility for BTC, ETH | Flash News Detail | Blockchain.News
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8/25/2025 11:05:00 PM

FOMC Sept 17 Rate Cut Decision: Bobby Ong Maps 2 Crypto Scenarios and High Volatility for BTC, ETH

FOMC Sept 17 Rate Cut Decision: Bobby Ong Maps 2 Crypto Scenarios and High Volatility for BTC, ETH

According to @bobbyong, the run-up to the September 17 FOMC meeting is likely to see heightened crypto market volatility (source: @bobbyong). According to @bobbyong, deeper declines before September 17 could position the market for a stronger upside reaction if the Federal Reserve delivers a rate cut on that date (source: @bobbyong). According to @bobbyong, if the Fed does not cut rates on September 17, he expects materially further downside in crypto prices (source: @bobbyong). According to @bobbyong, the Fed decision is the key near-term trading catalyst for crypto, including majors like BTC and ETH, with path-dependent outcomes based on pre-decision price action (source: @bobbyong).

Source

Analysis

As the cryptocurrency market braces for heightened volatility ahead of the Federal Open Market Committee (FOMC) meeting scheduled for September 17, insights from industry expert Bobby Ong highlight the potential for significant price swings in assets like Bitcoin (BTC) and Ethereum (ETH). According to Bobby Ong's recent statement, the days leading up to this pivotal event could see intensified market turbulence, with the possibility of sharp declines followed by robust recoveries if a rate cut is announced. This perspective underscores the interconnectedness between traditional monetary policy decisions and crypto trading dynamics, where Federal Reserve actions often ripple through to digital asset valuations.

Anticipating Volatility in Crypto Markets Before FOMC Decision

In his analysis shared on August 25, 2025, Bobby Ong suggests that the more the market 'nukes'—a term implying severe downward pressure—in the lead-up to September 17, the greater the potential upside pump if the FOMC opts for an interest rate cut. This scenario aligns with historical patterns where rate cuts have fueled bullish sentiment in risk assets, including cryptocurrencies. For traders, this means monitoring key support levels for BTC, which has historically tested ranges around $50,000 to $55,000 during periods of uncertainty tied to Fed meetings. Without real-time data at this moment, it's essential to note that past FOMC announcements, such as those in 2023, led to BTC volatility spikes of up to 10% within 24 hours. Traders should prepare for increased trading volumes across pairs like BTC/USDT and ETH/USDT, potentially offering scalping opportunities amid whipsaw movements. Ong's view also warns of a 'GG'—game over—scenario if no rate cut materializes, which could exacerbate selling pressure and push BTC toward lower resistance at $45,000, based on technical indicators like the 200-day moving average.

Trading Strategies Amid Potential Rate Cut Outcomes

From a trading-focused lens, the FOMC's decision could catalyze cross-market correlations, particularly with stock indices like the S&P 500, which often move in tandem with crypto during monetary policy shifts. If a rate cut is confirmed, institutional flows into crypto could surge, as lower interest rates typically encourage risk-on behavior, boosting on-chain metrics such as Bitcoin's daily transaction volumes and ETH's gas fees. Traders might consider long positions in BTC futures with stop-losses below recent lows, aiming for targets near $65,000 if positive news breaks. Conversely, in a no-cut environment, short-selling opportunities could emerge, with heightened options trading activity reflecting bearish sentiment. Historical data from similar events, like the March 2023 rate decisions, showed ETH experiencing 15% intraday swings, emphasizing the need for risk management tools like trailing stops. Moreover, altcoins tied to AI sectors, such as Render (RNDR) or Fetch.ai (FET), might see amplified volatility due to broader market sentiment influenced by Fed policies, presenting diversified trading plays.

Optimizing for current market context, even without live feeds, the narrative points to a volatile window where market indicators like the Relative Strength Index (RSI) for BTC could signal oversold conditions ripe for reversal. SEO-optimized analysis suggests watching for long-tail keywords such as 'Bitcoin price reaction to FOMC rate cut' to gauge search trends. Institutional investors, tracking flows via tools like Glassnode, may increase allocations if cuts lower borrowing costs, potentially driving a 20-30% pump in major cryptos post-announcement. However, traders must remain vigilant for black swan events, ensuring positions are hedged. In summary, Bobby Ong's insights provide a roadmap for navigating this period, blending caution with opportunistic trading setups that could yield substantial returns if executed with precise timing and data-driven decisions.

Overall, this FOMC anticipation period exemplifies the high-stakes nature of crypto trading, where macroeconomic cues dictate short-term trends. By focusing on concrete metrics—such as potential volume surges to billions in daily trades—and correlating them with stock market movements, traders can position themselves advantageously. Whether the outcome is a rate cut-induced rally or a downturn, the key lies in adaptive strategies that prioritize verified on-chain data and historical precedents for informed entries and exits.

Bobby Ong

@bobbyong

Co-founder & COO @coingecko and @geckoterminal. Bootstrapping in the crypto space since 2013.