Key Fed forecast could boost Bitcoin, Cardano, XRP, and other altcoins

The odds of an emergency Federal Reserve interest rate cut have jumped sharply on Polymarket and Kalshi as Donald Trump’s trade war intensifies.

A Polymarket poll with over $360,000 in assets shows that these odds have surged to 31%, up from 15% on April 1. A similar prediction market on Kalshi places the odds at 41%, the highest level since November last year.

These expectations have climbed as multiple analysts downgraded their economic outlook for the U.S. amid the expanding trade war. Top Wall Street firms like JPMorgan, BlackRock, and Goldman Sachs have all raised their recession forecasts. for the year.  As a result, an emergency interest rate cut by the Federal Reserve is increasingly viewed as a likely response to ease borrowing costs and inject liquidity into the economy.