Bitcoin has surged past the $115,000 mark today, continuing its impressive rally this September as fresh U.S. inflation data influences expectations for upcoming Federal Reserve policy. The Consumer Price Index (CPI) met market forecasts, while jobless claims came in higher than anticipated. This combination has led traders to increase bets on potential interest rate cuts at the Federal Reserve’s next meeting scheduled for September 17.
Market reactions have been swift, with Bitcoin climbing to $115,500, marking its strongest performance since late August. Current FedWatch data indicates that traders are now pricing in a 92.7% probability for the target rate to be lowered to between 400 and 425 basis points, leaving a mere 7.3% chance for a deeper cut to 375–400 bps. The previous rate of 425–450 bps is now seen as having a 0% chance of remaining unchanged, highlighting a significant shift in market sentiment over the past month.
Solana has also seen gains, trading at $238, while Binance Coin (BNB) reached an all-time high of $909. Notably, Hyperliquid (HYPE) surged to $57, joining the list of tokens achieving record prices. Meme coins are experiencing a revival, with PENGU up 10%, DOGE gaining 4%, and Fartcoin approaching a $1 billion market cap following a 20% rise over the past week.
As Bitcoin stays above the $115,000 level, traders are closely observing potential outperformers for the next phase of the market. BNB and HYPE are emerging as frontrunners after their new all-time highs reflect strong momentum and investor interest. Mantle (MNT) is another token to watch, having recently climbed to new heights, indicative of market focus on Layer-2 and exchange-related developments.
As the market stabilizes after the CPI-driven volatility, attention may shift back to growth narratives and adoption trends. Although short-term pullbacks could occur, the combination of Bitcoin’s strength, altcoin breakouts, and burgeoning ETF speculation is setting the stage for one of the most dynamic months in crypto this year.
In related news, the co-founder of THORChain and Vultisig, JP, has reportedly fallen victim to a $1.3 million scam orchestrated by North Korean hackers during a conference call. The incident, uncovered by blockchain investigator @zachxbt, is ironic considering JP’s previous ties to projects linked with facilitating money laundering for North Korea-associated groups. Adding to the controversy, JP had previously defended North Korea’s hacking practices in a documentary discussing the Bybit hack.
In further economic developments, a Reuters poll involving 107 economists suggests a near consensus that the Federal Reserve will implement a 25-basis-point interest rate cut in its upcoming meeting on September 17, lowering the federal funds rate to a range of 4.00%-4.25%. The anticipated cuts come as data reflects a weakening labor market, including stalled job growth in August and significant downward revisions to prior employment figures.
Market expectations for interest rate adjustments have shifted, with traders now forecasting at least three rate reductions this year. Most economists are also predicting another 25-basis-point cut in the fourth quarter, though some analysts entertain the possibility of a more substantial 50-basis-point drop. Predictions toward year-end are divided, with expectations ranging between a total of 50 bps and 75 bps in cuts. Looking into 2026, further easing could see rates dip to as low as 3.00%-3.25%, highlighting the Fed’s focus on stabilizing the labor market.
