Investor Speculation Depends on Fed’s Upcoming Decision While Altcoins Wait for a Go-Ahead

The Federal Reserve’s latest policy direction has sparked fresh optimism among cryptocurrency investors, with several major altcoins poised for possible gains as markets expect a 25-basis-point rate reduction. The CME Group’s FedWatch tool currently puts the probability of an upcoming rate cut at 96%, a move widely anticipated to favor higher-risk assets such as cryptocurrencies.

Dogecoin (DOGE), a prominent player in the crypto space, is hovering near important technical thresholds as traders await the Fed's decision. DOGE has recently tested the 50-period Exponential Moving Average (EMA) at $0.2621 on the 4-hour chart, serving as a significant support. Although the coin retreated over 13% from last week’s high, it remains above $0.2650. Should it sustain this level, it may indicate a bullish turnaround, potentially pushing

back over $0.3000, a resistance it challenged this past Saturday.

Futures Open Interest (OI) data adds another layer to the market outlook. OI, reflecting the notional value of all open futures contracts, averaged $5.4 billion on Wednesday, down from $6 billion at the week’s start. A further drop in OI could point to increasing bearish sentiment, while a rebound may signal renewed risk appetite and a bullish push. Experts emphasize that OI is vital for assessing both liquidity and investor engagement, with a declining OI often hinting at weakened participation or capital outflows.

Technical indicators paint a mixed picture. On the 4-hour chart, the Relative Strength Index (RSI) stands at 47, sitting in bearish territory and pointing to diminishing bullish strength. However, if the RSI moves closer to oversold levels, a reversal could be on the horizon. The SuperTrend indicator has kept a sell signal active since Monday, reinforcing the current bearish trend. Traders should keep an eye on support at the 50-period EMA ($0.2621), while the 100- and 200-period EMAs at $0.2500 and $0.2382, respectively, mark further areas to monitor.

Looking ahead, the outlook for DOGE remains positive. Technical models suggest DOGE could reach $0.310601 by October 17, 2025, representing an upside of 15.83% from present prices. Over the long term, some analysts forecast DOGE could hit $0.60 in the coming years. These bullish views are underpinned by factors like growing retail involvement, significant whale accumulation, and prospects of a wider crypto rally following a Fed rate cut.

The broader altcoin arena is also gaining momentum, with Ripple’s

jumping 12.94% in the past day to trade at $2.928. Analysts attribute this rally to robust whale buying, as wallets with 1–10 million XRP now hold $3.8 billion worth. Similarly, (ADA) has increased by 8.87% to $0.88, with whale activity suggesting more room for growth. The overall revival in the crypto market is fueled by a surge in capital inflows and rising optimism for positive regulatory changes in the U.S.

Market conditions are also shaped by broader macroeconomic and geopolitical developments. For instance, recent gains in

and altcoins after softer-than-expected U.S. inflation numbers have bolstered hopes for a rate cut, with Bitcoin briefly topping $114,000. If the Fed proceeds with easing, the resulting liquidity could benefit the entire digital asset market, including DOGE, , and XRP.

In conclusion, the crypto sector appears primed for an upward move as the Federal Reserve’s policy adjustments create a more supportive landscape for risk assets. Although

and other altcoins face short-term technical obstacles, the broader prospects stay optimistic, bolstered by stronger investor sentiment and critical technical supports that could drive further gains.