Fed Considers Pausing Rate Cuts, Market Projections Shift to June 2026
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
- Rate Cut Expectations Adjustment: After implementing three rate cuts in 2025, the Federal Reserve is considering a pause at the January 2026 FOMC meeting, with market projections now shifting rate cut expectations to June 2026, reflecting confidence in economic stability.
- Unemployment Rate Impact: With the current unemployment rate at 4.4%, the Fed has room to pause rate cuts, indicating that improvements in the labor market may influence future monetary policy directions, thereby affecting market liquidity.
- Market Reaction: CME data shows only a 5% probability for a rate cut in January 2026, indicating a cautious investor sentiment towards Fed policies, which may lead to volatility in the cryptocurrency market.
- Future Uncertainty: With Chair Powell's term ending in May 2026, there is uncertainty regarding future monetary policy directions, which could impact global liquidity and the performance of cryptocurrencies.
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
