COINOTAG News reports, citing CME FedWatch data, that the odds of a 25bp Federal Reserve rate cut in January are 26.6% while the probability of holding rates steady sits at 73.4%. The release underscores a cautious market stance as traders align expectations with a potential pause in monetary tightening.

For the crypto sector, the split in policy odds anchors risk sentiment and liquidity planning. Traders are pricing in a gradual policy path, which can influence Bitcoin and altcoins, funding markets, and DeFi activity. CME data remains a key input for asset allocation and volatility forecasting.

Going forward, investors should watch central-bank communications for shifts in the policy trajectory. The January decision will depend on incoming data, and CME projections will continue to shape risk premiums across crypto markets.