A senior U.S. Federal Reserve official made it clear: “With current data, there’s no case for a September rate cut.” Inflation remains sticky, and the labor market is still resilient, giving the Fed little reason to ease up.
For crypto, that’s bad news. A delayed cut means tight liquidity stays longer, restricting the flow of cheap capital into risk assets. Historically, crypto thrives when monetary policy loosens. Instead, traders now face months of higher-for-longer rates, which could weigh on Bitcoin and altcoins alike.
The below chart shows two eerily similar Bitcoin topping formations. The first one in late 2024 ended with a sharp multi-month correction. Now in mid-2025, $BTC price is showing the same pattern again: repeated rejections at the highs, followed by choppy downward action.
BTC/USD 1-day chart - TradingView
At current prices around $112K–113K, $Bitcoin risks breaking down further. If this fractal repeats, another correction could be on the way—potentially wiping out a big chunk of recent gains.
The mix of a hawkish Fed and bearish technicals makes for a dangerous setup. Without a rate cut to inject new liquidity, crypto markets could continue to struggle, and Bitcoin may be on the verge of a steep retracement.
Key levels to watch:
Unless the macro picture softens, Bitcoin looks set for more downside pressure in the coming weeks.
By CryptoTicker
about 2 hours ago
