In the Bitcoin (BTC) and cryptocurrency market, all eyes are on today’s FED meeting and the FED chairman’s statements.
Accordingly, the Fed will announce its first interest rate decision of 2026 tomorrow, followed by an oral statement from Fed Chairman Jerome Powell.
Following three consecutive interest rate cuts that began in September last year, the Fed is widely expected to keep interest rates unchanged in January. At this point, the Fed is expected to keep its policy interest rate range stable at 3.50–3.75 percent.
When Will the FED’s January Interest Rate Decision Be Announced?
The Fed will announce its January interest rate decision on January 28, 2026 at 10:00 PM Turkish time.
Following the decision, Federal Reserve Chairman Jerome Powell will make a verbal statement at 10:30 PM.
In Which Direction Are Expectations Focusing?
In the US, inflation hovering around 2.7% and signs of a slowdown in the job market are being interpreted as an indication that the Fed may adopt a cautious stance.
Despite calls for interest rate cuts from US President Donald Trump and political pressure on Powell, the Fed is expected to continue making decisions in line with its goals of price stability and maximum employment.
However, Trump recently stressed the need to support economic growth, stating that a “meaningful reduction” in interest rates is essential.
Tim Duy, chief economist at SGH Macro Advisors, stated that Fed officials might adopt a “pause in interest rate cuts and reassess if data changes” approach, while Karim Basta, chief economist at III Capital Management, said Powell could signal that interest rates are “at a good level for now.”
Bloomberg economists Anna Wong and Chris Collins stated that pausing interest rate cuts could provoke new reactions from the White House.
Olu Sonola, head of US Economic Research at international credit rating agency Fitch Ratings, stated that current inflation and employment dynamics will keep the Fed on hold today.
Powell’s Statements Will Be Even More Important!
As expected, the Fed is anticipated to keep interest rates unchanged, but signals from the policy statement and Powell’s remarks are expected to influence market direction.
This meeting will also be very critical because it is the first meeting between the Fed and Powell following a subpoena issued in the past regarding building renovations.
Investors will be watching Powell’s press conference following the Fed’s decision to see if he leaves the door open for interest rate cuts in March and beyond.
Powell is also expected to comment on Trump’s political pressure on the Fed, central bank independence, and the steps he will take after his term ends in May.
At this point, Powell’s stance on inflation, growth, political pressures, and interest rate cuts will guide Bitcoin and the crypto market.
*This is not investment advice.