Global Markets Focus on Fed Decision
Investors around the world are focused on today’s Fed interest rate decision and Powell’s subsequent press conference. Although recent macroeconomic data in the US has kept inflation concerns alive, the market is certain that the Fed will cut its policy rate. However, the possibility of further rate cuts at the October and December meetings remains strong. Powell’s tone and the signals in the policy statement will be critical in determining the direction of the markets.
US Congress Bitcoin Strategic Reserve Plan
According to a report by Crypto in America, the US Congress held a meeting on September 17 to discuss the Bitcoin strategic reserve bill. Republican Senators Ted Cruz, Marsha Blackburn, and industry representative Michael Saylor attended the meeting. Senator Cynthia Lummis’s reintroduced “BITCOIN Act” requires Bitcoin to be given gold status as a national strategic reserve asset and the US to purchase 1 million BTC within 5 years. While participants agreed on the necessity of the reserve, it was noted that it could take a long time for this proposal to be accepted by Congress.
Michael Saylor and Crypto Leaders in Congress
Journalist Eleanor Terrett reported that Michael Saylor, Tom Lee, and executives from major Bitcoin mining companies also attended the meeting held at the U.S. Capitol. The meeting discussed a strategic reserve plan that would see the US government purchase one million Bitcoin within five years. Politicians in attendance included Ted Cruz, Marsha Blackburn, Bernie Moreno, Nick Begich, Pat Harrigan, and Michael Rulli.
White House Calls on Fed for 50 Basis Points
U.S. Trade Advisor Peter Navarro said the Fed should cut interest rates by 50 bp at this meeting and another 50 bp at the next meeting. According to Navarro, interest rates are currently at least 100 bp above normal.
QCP Capital’s Fed Expectations
QCP Capital expects the Fed to cut rates by 25 basis points tonight, bringing the rate to the 4.00–4.25% range. Markets are pricing in a total of six rate cuts through 2026. Investors are urged to focus particularly on the dot plot and Powell’s remarks at the press conference.
Bank of Japan Stance
According to Nikkei, the Bank of Japan is expected to keep interest rates unchanged at its meeting this week. While monitoring the impact of US tariffs on the economy, the implications of capital investments and wage increases on the overall economy will also be tracked. This will be the fifth consecutive meeting where the BoJ has not changed interest rates since the Fed’s hike in January 2025.
Glassnode: Option Demand Increases
According to Glassnode data, investors are heavily buying options against volatility risk ahead of the Fed’s decisions. This reflects expectations of significant price movements in the market.
Crypto Regulation Plan from the UK
According to the Financial Times, the UK’s financial regulator, the FCA, plans to establish a regulatory framework covering crypto companies in 2025. However, some traditional financial rules will not apply to crypto firms. The FCA aims to increase oversight of operational risks such as cyberattacks.
Strategic Expansion from Metaplanet
Metaplanet announced that it has purchased the Bitcoin.jp domain name and established two new subsidiaries. Bitcoin Japan Co., Ltd. will be responsible for Bitcoin-related media and events. Metaplanet Income Corp., established in the US, will focus on Bitcoin revenues and derivative transactions.
Japan’s Debt Crisis and Crypto Demand
Economist Robin Brooks stated that Japan is sliding into a debt crisis with a debt-to-GDP ratio of 240%. The yen’s 41% depreciation since 2021 and bond yields reaching their highest levels since 2008 are causing concern among investors. Brooks predicts that this situation could increase demand for cryptocurrencies and stablecoins.
21Shares launched two new crypto ETPs focused on AI protocols and the Raydium token. AFET tracks projects such as Fetch.ai, SingularityNET, and Ocean Protocol, while ARAY offers investment opportunities in the Solana-based Raydium token.
The Ether Machine Prepares for Public Offering in the US
The Ethereum treasury The Ether Machine has filed an S-4 registration statement with the SEC to advance its public offering plan. This process will be carried out through a merger with Dynamix Corporation, which is traded on Nasdaq. The transaction is expected to be completed in the last quarter of the year.
H100 Group Continues Bitcoin Purchases
According to BlockBeats, H100 Group purchased an additional 21 BTC at an average price of 1,087,500 SEK. The company’s total holdings have risen to 1,046 BTC.
