Fed Rate Decision Looms as Crypto Markets Weigh Geopolitical Tension and Economic Expectations

Crypto markets opened the week on firmer footing after a weekend pause in U.S. airstrikes and Iran's signal that it would halt attacks if Washington maintains restraint, easing geopolitical tension and nudging oil lower.

The calmer backdrop helped U.S. stock futures and Crypto benchmarks start the week with modest gains, though volatility risks remain elevated.

On Wednesday, the Federal Reserve will announce its interest rate decision, with odds of a hike slipping to 36.3%, according to CME FedWatch. The Bank of England is expected to hold at 3.75% and the Bank of Japan at 1% before considering another hike later in the year.

Crypto-specific catalysts include BitMEX settlements, FTX creditor distributions, and earnings from major digital-asset firms like Robinhood, Coinbase, and Strategy.