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Bitcoin and Ethereum traders are becoming even more pessimistic about the assets' next price movements via prediction markets, following Wednesday's hawkish tone from newly installed Federal Reserve Chair Kevin Warsh.
BTC and ETH have fallen about 5% each in the last 24 hours, recently changing hands at $62,499 and $1,682 in the wake of Warsh's first FOMC meeting. While rates remain unchanged, traders no longer expect a rate cut this year, pricing it around 80% on Polymarket that there are zero cuts in 2026. Per CME FedWatch, interest rate traders now instead expect a rate hike by the end of the year.
The Bitcoin and Ethereum dips have led to more significant movement on Myriad's "Pump or Dump" markets, which ask prediction market users to determine whether an asset's next stop is to a higher or lower benchmark. (Disclaimer: Myriad is a product of Decrypt's parent company, Dastan).
Odds of Bitcoin "dumping" have increased more than 10% in the last 24 hours, outpacing the top crypto asset's price drop during that time. Predictors now favor a dip to $55,000 at nearly 72% before a more significant bounce to $84,000.
Nevertheless, analysts at Bitfire Research told Decrypt earlier Thursday that at its current marker, BTC is in a "high-value entry window."
Traders are even more confident that Ethereum's next move is a dump toward $1,500. As it stands, predictors place odds around 83% that ETH will hit $1,500 sooner than it can surge towards $3,000.
Those odds have jumped around 4% in the last 24 hours and have now increased more than 23% in the last month of trading. As it stands, ETH is trading just 12% above the $1,500 marker. On the other hand, it would need to rise around 78% to march to $3,000.
