A Bitcoin rally is anticipated as Donald Trump prepares for his inauguration on January 20, 2025. This upward momentum is linked to Optimism surrounding the release of CPI inflation data on January 15. However, there’s a risk that the Federal Reserve’s interest rate decision on January 29 could disrupt this trend.
The Federal Reserve’s decision represents a significant point of uncertainty for Bitcoin’s trajectory. CME Group indicators suggest a HIGH probability of maintaining current rates. Previous FOMC decisions have led to substantial Bitcoin volatility, reinforcing the market’s sensitivity to Fed policies.
Ethereum is predicted to lag behind Bitcoin in 2025, particularly due to a lack of significant growth catalysts and a 1% decline in active validators. Markus Thielen advises investors caution, as Ethereum’s overall demand appears insufficient for substantial price rallies.