Crypto Ticks Up as Markets Brace for Fed Rate Decision

Crypto markets started the week on a positive note, with total market capitalization ticking up to $2.3 trillion during early trading hours. Bitcoin gained one percent to touch $65,500 before pulling back slightly, while continuing to face heavy resistance near the $66,000 mark. Ethereum outperformed slightly with a 3.5 percent jump to reach a seven week high of $1,960, though it has not crossed the $2,000 threshold since early June.

Market participants are keeping a close eye on global developments, including reports that international hostilities have paused for now. This temporary calm has brought some relief to risk assets, lifting stock futures and digital currencies alike. However, traders remain cautious as heavy resistance levels cap major crypto gains.

All attention now turns to the United States central bank, which announces its interest rate decision on Wednesday. Current expectations show a notable 36.3 percent chance of a rate increase, according to market tracking tools. Alongside the rate announcement, this week brings crucial inflation reports, consumer confidence data, and earnings updates from major tech giants like Microsoft and Meta, meaning traders should expect choppy price action across the board.