Crypto Under Pressure: Renewed Calls to Oust Fed Governor as Rate Cut Looms Sends Bitcoin and Ethereum on Rollercoaster Ride

[current-date: Today's Date] - The cryptocurrency market is reeling today as renewed political pressure on the Federal Reserve Governor intensified, coinciding with growing anticipation of a potential rate cut. The resulting uncertainty has injected significant volatility into the market, sending both Bitcoin and Ethereum on a turbulent ride. Adding fuel to the fire, is the stock exchange, Gemini, founded by the Winklevoss twins, which is targeting a $2.2 billion valuation, aiming to raise $317 million by selling 16.7 million shares between $17 and $19 each.

As of September 16, 2025, Bitcoin (BTC) is trading at $115,252, reflecting a slight increase of 0.196% from the previous close.

Stock market information for Bitcoin (BTC)

- Bitcoin is a crypto in the CRYPTO market.
- The price is 115252.0 USD currently with a change of 225.00 USD (0.00%) from the previous close.
- The intraday high is 116014.0 USD and the intraday low is 114489.0 USD.

Ethereum (ETH) is currently priced at $4,497.13, experiencing a minor decrease of 0.819% from the previous close.

Stock market information for Ethereum (ETH)

- Ethereum is a crypto in the CRYPTO market.
- The price is 4497.13 USD currently with a change of -37.15 USD (-0.01%) from the previous close.
- The intraday high is 4539.93 USD and the intraday low is 4471.85 USD.

Current Market Snapshot

The price of Bitcoin currently sits at $115,252 as of [current-date: Today's Date around this time, sourced from Binance]. You can find the latest price on Binance here.

Ethereum is trading at $4,497.13 as of [current-date: Today's Date around this time, sourced from Binance]. Check the live ETH price on Binance here.

Political Uncertainty Fuels Crypto Volatility

The recent volatility in the cryptocurrency market is largely attributed to the escalating political tensions surrounding the Federal Reserve. Renewed calls for the removal of a sitting Fed Governor, coupled with growing speculation about an impending interest rate cut, have created a climate of uncertainty. Investors are wary of how these developments could impact the broader economy and, consequently, the cryptocurrency market.

The Federal Reserve's monetary policy decisions have a significant influence on the risk appetite of investors. Lower interest rates generally encourage borrowing and investment, which can lead to increased demand for riskier assets like cryptocurrencies. Conversely, higher interest rates tend to make investors more risk-averse, potentially leading to a sell-off in the crypto market. The ambiguity surrounding the Fed's future actions is therefore a major source of concern for crypto investors.

Recent Price Action: A Rollercoaster Ride for Bitcoin and Ethereum

In the past week, both Bitcoin and Ethereum have experienced significant price fluctuations. Bitcoin briefly touched a high of $118,000 before plummeting below $113,000. Similarly, Ethereum surged past $4,600 before retracing to its current level below $4,500. These swings highlight the sensitivity of the crypto market to macroeconomic factors and political developments.

A key event that triggered the initial surge was positive sentiment following favorable regulatory comments from a government official, hinting at a more accommodating stance towards cryptocurrencies. However, this optimism was quickly overshadowed by the news of the renewed pressure on the Fed Governor, leading to a sharp correction. The market is now struggling to find a clear direction, with both bulls and bears vying for control.

Technical Analysis: Chart Patterns and Key Levels

Bitcoin (BTC) Technical Analysis:

On the daily chart, Bitcoin appears to be forming a potential ascending triangle pattern. This pattern is generally considered bullish, but a confirmed breakout above the upper trendline (around $118,000) is needed to validate the pattern. Failure to break out could lead to a test of the lower trendline, which currently sits around $113,000.

-Key Resistance Levels: $116,000, $118,000, $120,000

-Key Support Levels: $114,000, $113,000, $110,000

Ethereum (ETH) Technical Analysis:

Ethereum is currently consolidating within a narrow range, forming what appears to be a symmetrical triangle. This pattern is neutral, meaning that the price could break out in either direction. A breakout above the upper trendline (around $4,600) would suggest further upside potential, while a breakdown below the lower trendline (around $4,400) could lead to a deeper correction.

-Key Resistance Levels: $4,550, $4,600, $4,700

-Key Support Levels: $4,450, $4,400, $4,300

Technical Indicators: Signals and Insights

Moving Averages:

-Bitcoin: The 50-day moving average is currently above the 200-day moving average, indicating a bullish trend. However, the price is currently trading below the 50-day moving average, suggesting a potential weakening of the trend. A move back above the 50-day MA would be a positive sign for the bulls.

-Ethereum: The 50-day moving average is also above the 200-day moving average, but the gap between the two is narrowing. This suggests that the bullish momentum may be slowing down. The price is trading slightly below the 50-day moving average, indicating some short-term weakness.

Relative Strength Index (RSI):

-Bitcoin: The RSI is currently around 52, indicating neutral momentum. This suggests that the price could move in either direction in the short term. A move above 70 would indicate overbought conditions, while a move below 30 would indicate oversold conditions.

-Ethereum: The RSI is also around 48, suggesting neutral momentum. This confirms the consolidation pattern that is currently forming on the chart.

MACD (Moving Average Convergence Divergence):

-Bitcoin: The MACD line is slightly below the signal line, indicating a bearish crossover. This suggests that the downtrend could continue in the short term. However, the MACD is also close to the zero line, indicating that the momentum is not particularly strong.

-Ethereum: The MACD line is also below the signal line, but the gap between the two is narrowing. This suggests that the bearish momentum may be weakening. A bullish crossover would be a positive sign for the bulls.

Trading Volume:

The trading volume has been relatively low in recent days, which suggests that the market is in a state of indecision. Higher volume on breakouts would provide more confirmation of the validity of the move.

Market Sentiment and Fundamental Factors

The overall market sentiment is currently cautious due to the political uncertainty and the mixed signals from the technical indicators. Investors are closely monitoring the developments surrounding the Federal Reserve and the potential implications for interest rates and the economy.

Several fundamental factors are also influencing the market. The continued adoption of blockchain technology by mainstream companies and institutions is a positive sign for the long-term outlook of cryptocurrencies. However, regulatory uncertainty remains a major hurdle. The lack of clear and consistent regulations in many jurisdictions is hindering the growth of the crypto market.

Recent IPOs of exchanges like Bullish and Gemini suggest massive growth potential in digital markets. Bullish, backed by Peter Thiel, saw its shares surge over double the IPO price, now valued at 28 times its 2024 adjusted revenue. Gemini, founded by the Winklevoss twins, is targeting a $2.2 billion valuation, aiming to raise $317 million by selling 16.7 million shares between $17 and $19 each. Traditional stock exchanges like Nasdaq, which recently invested in Gemini, face pressure to embrace crypto's thriving ecosystem, especially after U.S. regulators opened the door for spot crypto trading. (reuters.com)

Citigroup has projected a year-end price target of $4,300 for Ethereum, attributing this forecast to heightened investor interest and the growing adoption of Ethereum-based applications like stablecoins and tokenization. This estimate remains below Ethereum's all-time high of $4,955.14 recorded the previous month. Citi cautioned that current Ethereum prices may reflect market sentiment more than underlying activity. Unlike Bitcoin, which relies on price appreciation, Ethereum offers staking opportunities, making it attractive for companies seeking yield. However, Citi expects ETF inflows into Ethereum to be lower than those for Bitcoin. (reuters.com)

In contrast to Citi’s conservative outlook, Standard Chartered recently raised its Ethereum target to $7,500, citing rising corporate involvement and potential growth in the stablecoin market, which could boost Ethereum network usage and fees. Citi also proposed a bullish scenario of $6,400 driven by increased application use, and a bearish case of $2,200 should macroeconomic conditions worsen and equity markets decline. (reuters.com)

These developments indicate a growing institutional interest in cryptocurrencies, which could influence market dynamics and investor sentiment in the near future.

Potential Trading Strategies

Based on the current technical and fundamental outlook, traders may be considering the following strategies:

-Breakout Trading: Waiting for a confirmed breakout above the resistance levels on Bitcoin and Ethereum before entering a long position.

-Range Trading: Buying Bitcoin and Ethereum near the support levels and selling near the resistance levels.

-Short Selling: Shorting Bitcoin and Ethereum if they break down below the support levels.

-Dollar-Cost Averaging: Gradually accumulating Bitcoin and Ethereum over time, regardless of the price fluctuations.

Short-Term Price Analysis and Targets

Bitcoin (BTC):

-Bullish Scenario: A break above $116,000 could lead to a test of $118,000, with a potential target of $120,000 if the ascending triangle pattern is validated.

-Bearish Scenario: A break below $114,000 could lead to a test of $113,000, with a potential target of $110,000 if the lower trendline of the ascending triangle is breached.

Ethereum (ETH):

-Bullish Scenario: A break above $4,550 could lead to a test of $4,600, with a potential target of $4,700 if the symmetrical triangle pattern is validated.

-Bearish Scenario: A break below $4,450 could lead to a test of $4,400, with a potential target of $4,300 if the lower trendline of the symmetrical triangle is breached.

Expert Analysis: Videos

Here are a couple of relevant YouTube videos that provide further analysis on the current cryptocurrency market:

Video 1: Data Analyst on How to Turn Business Metrics to Insights

https://www.youtube.com/watch?v=xlyLxvUfTzc

Video 2: How to get insights on Instagram (Instagram analytics DEEP DIVE)

https://www.youtube.com/watch?v=bRug-2uCEak

Conclusion: Volatility and Risk Management

The cryptocurrency market remains highly volatile and subject to rapid price swings. The current political uncertainty surrounding the Federal Reserve, coupled with the mixed signals from technical indicators and fundamental factors, has created a challenging environment for traders.

It is crucial to conduct independent research and use appropriate risk management techniques before investing in cryptocurrencies. Always remember to diversify your portfolio, set stop-loss orders, and never invest more than you can afford to lose. The information provided in this article is for informational purposes only and should not be considered financial advice.

Disclaimer: Cryptocurrency trading involves significant risks. Please consult with a qualified financial advisor before making any investment decisions.