WASHINGTON (dpa-AFX) - Traders positioned cautiously ahead of the interest rate decision to be announced by the Federal Open Markets Committee on Wednesday afternoon. Cryptos are mostly trading in the red whereas gold has rebounded after a 3-day losing streak. Wall Street futures are directionless, sovereign bond yields in the U.S. have hardened and U.S. Dollar has strengthened amidst an anxious wait for the Fed's decision.
The CME FedWatch tool that tracks the expectations of interest rate traders shows a 99.9 percent likelihood of a quarter percentage rate cut announcement by the Fed later in the day that would slash rates to 3.75-4.00 percent. The likelihood of another quarter percentage rate cut by the Fed in December that would reduce the target rate to 3.50 -3.75 percent is seen at 84.8 percent.
However, absence of crucial updates from the labor market weighed on rate cut hopes. Risk aversion ahead of the Fed's decision triggered position-trimming and leveraged liquidations by traders causing crypto market capitalization to drop close to 1.5 percent in the past 24 hours. Over the past 24 hours, 68 of the top 100 cryptocurrencies have declined more than a percent and only 11 have managed to record gains of more than a percent.
Gold Futures for December settlement is currently trading at $4,038.65 per troy ounce, implying overnight gains of 1.4 percent. The yellow metal has shed 0.7 percent in the past week but is holding on to gains of almost 53 percent on a year-to-date basis. The 6-currency Dollar Index which measures the dollar's strength against a basket of 6 currencies is currently at 98.82, versus 98.67 at the previous close. The index has gained 0.16 percent from the previous close.
Bitcoin declined 1.1 percent overnight to trade at $113,162.52, around 10 percent below the all-time high of $126,198.07 recorded on October 7. The original cryptocurrency recorded gains of 4.9 percent over the past week and more than 21 percent till date in 2025. The 24-hour trading range was between $116,078.99 and $112,111.00.
Bitcoin-based Spot ETF products in the U.S. witnessed inflows increasing to $202 million on Tuesday from $149 million on Monday. ARK 21Shares Bitcoin ETF topped with inflows of $76 million.
Ethereum also tumbled 2.7 percent overnight to trade at $4,002.14. Gains in 2025 have decreased to a little more than 20 percent. Ether's current trading price is 19 percent below its all-time-high. The 24-hour trading range was between $4,173.51 and $3,940.83.
Ethereum-based Spot ETF products also witnessed net inflows rising to $246 million on Tuesday from $134 million on Monday. Fidelity Ethereum Fund (FETH) topped with inflows of $99 million.
4th ranked XRP edged down 0.09 percent overnight at its current trading price of $2.65.
5th ranked BNB declined 1.4 percent overnight to trade at $1,118.38, around 18 percent below the all-time high.
The price of 6th ranked Solana decreased 1.6 percent overnight to $196.81.
8th ranked Dogecoin plunged 2.6 percent overnight and is currently changing hands at $0.1946. With losses of more than 38 percent, SOL is the highest-ranking cryptocurrency to trade with year-to-date losses.
TRON ranked 9th overall edged down 0.02 percent overnight and is currently changing hands at $0.2974.
10th ranked Cardano dropped 2.2 percent overnight to trade at $0.6715.
44th ranked Pi (PI) and 54th ranked OFFICIAL TRUMP (TRUMP) topped gains with an overnight surge of more than 18 percent.
34th ranked Ethena (ENA) topped overnight losses among the top 100 cryptocurrencies with a decline of 7.2 percent. 74th ranked SPX6900 (SPX), 29th ranked Bittensor (TAO) and 92nd ranked Humanity Protocol (H) followed with overnight losses of more than 5 percent.
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