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Bitcoin Market Analysis: Recovery Consolidation Amid Fed Leadership Uncertainty

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Source: CryptoNewsNet Original Title: What is the Technical Outlook for Bitcoin (BTC)? What to Expect in the Coming Days? Analysis Company Shares! Original Link: Bitcoin (BTC) and altcoins have seen a rapid recovery following Monday’s turmoil.

Singapore-based analysis firm QCP Capital analyzed the latest state of the market. The analysis firm indicates that the market is currently in a wait-and-see mode, which is stable but far from easing.

Bitcoin has recovered by about 5% from recent lows and is consolidating around $95,000, while stocks and currencies remain stable ahead of next week’s Fed meeting.

Markets expect the next catalyst to be a potential change in the Fed chairmanship, not a Fed decision. Prediction markets are moving aggressively, placing the probability of Kevin Hassett becoming the next Fed Chair at around 85%, with a decision expected in early 2026.

With Fed members leaving the Fed in January 2026, February, and Powell in May, a more moderate FOMC environment than markets are accustomed to will emerge.

With only a few days left until the final interest rate decision for 2025, the FED will make its decision without new CPI or NFP data. However, futures still suggest a 25 basis point rate cut at next week’s FOMC meeting is around 90% likely.

Analysts noted that the next risky event to follow in Bitcoin and cryptocurrencies will be the MSCI index conformity review on January 15, which could be a significant volatility trigger for institutional Bitcoin strategies and related flows.

In conclusion, QCP Capital stated that Bitcoin and cryptocurrencies are stable for now, but this stability is an unsettling stability that awaits clarity. With macroeconomic catalysts weakening and uncertainty surrounding the Fed’s leadership increasing, Bitcoin and cryptocurrencies are effectively in a pause and wait-and-see mode until policymakers deliver the next decisive signal.

BTC2.13%
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