The global crypto markets are glued to their screens today as the Federal Reserve will announce its much-awaited decision on interest rates within a few hours.

Given the hot inflation and disappointing jobs market in the U.S., a rate cut of at least 25 basis points is being anticipated. The sentiment is well reflected on the popular crypto-based prediction market, Polymarket, as well.

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Users on Polymarket think there is a 91% chance of the Fed lowering interest rates by 25 bps when the central bank announces its decision after the Federal Open Market Committee (FOMC) meeting concludes on Sep. 17.

There is a 6.7% chance of a rate cut of more than 50 bps and only a 2.5% chance of no change to rates, as per Polymarket traders. It means if the Fed doesn't announce any changes, the rates will remain unchanged within the range of 4.25%-4.50%.

There is not even a 1% chance of the Fed hiking the rates more than 25 bps.

The reason Polymarket traders are so optimistic about a rate cut today is due to a mix of factors such as high inflation and the addition of fewer jobs in August.

Even Fed Chair Jerome Powell had dropped a hopeful signal to the market when he hinted at a possible rate cut while delivering a speech more than a month ago at Jackson Hole, Wyoming.

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Launched in 2020, Polymarket is the world’s largest prediction market. The platform lets traders make predictions on a wide range of events, such as crypto prices, election results, monetary policy, etc., using cryptocurrency.

In fact, the Fed's rate cut event has attracted more than $188 million in trading so far.

Edited by: Mehab Qureshi

This story was originally reported by TheStreet on Sep 17, 2025, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.