Bitcoin Holds Ground Ahead of Fed Decision as Corporate Treasury Doubts Emerge

Strategy buys 525 BTC worth $60M, raising its holdings to 639K BTC as Fed rate cut expectations drive market tension.

16 September 2025, 13:47 published Updated 16 September 2025, 13:47

Bitcoin Giant Strategy Adds $60M Worth of BTC

Bitcoin remained relatively flat on Monday, extending recent gains while broader crypto markets pulled back amid a mix of macroeconomic uncertainty and renewed scrutiny over corporate treasury strategies.

The world’s largest cryptocurrency edged 0.4% lower to $114,860 by 09:47 ET (13:47 GMT), following a 5% gain last week. Although BTC has rebounded steadily from the August lows, momentum appears to be waning as investors await a key decision from the U.S. Federal Reserve this week.

Market Awaits Fed Rate Cut as Traders Remain Cautious

Crypto traders are largely pricing in a 25 basis point rate cut from the Fed during its upcoming policy meeting, with CME FedWatch data indicating a 99.6% probability of such a move. Only 0.4% of bets suggest rates will remain unchanged.

While lower interest rates typically inject liquidity into markets—boosting appetite for risk assets like crypto—investor caution remains. The hesitation stems from mixed signals from the Fed, especially as Chair Jerome Powell continues to voice concerns about persistent inflation and has so far refrained from making any firm commitments on future rate cuts.

Despite growing political pressure, particularly from the White House, Powell’s tone remains conservative. This ambiguity around the central bank’s long-term easing path is likely contributing to the muted price action in crypto markets this week.

Bitcoin’s Recovery Slows as Corporate Treasury Strategy Faces Scrutiny

Bitcoin’s gains in recent days marked a recovery from the losses it suffered between mid-August and early September. However, the asset still trades below its August highs, with the recovery facing headwinds—notably from a shift in sentiment around corporate treasury adoption of BTC.

A significant factor dampening enthusiasm is the exclusion of Strategy (formerly MicroStrategy, NASDAQ: MSTR) from the S&P 500 index. The rejection raised questions about the long-term sustainability and financial merit of the company’s aggressive Bitcoin-centric treasury strategy.

“JPMorgan analysts flagged that limited index inclusions could weaken the overall outlook for Bitcoin treasury strategies,” the report noted.

This concern is especially relevant as Strategy remains the largest corporate holder of Bitcoin globally, holding more than 3% of BTC’s total supply.

Strategy Adds 525 BTC, Holdings Now Top $73 Billion

Despite market caution, Strategy has doubled down on its Bitcoin investment. Between September 8 and 14, the firm acquired an additional 525 BTC at an average price of $114,562 per coin, totaling approximately $60.2 million, according to a recent SEC filing.

This brings the company’s total holdings to 638,985 BTC, now valued at roughly $73.4 billion based on current prices. Its total investment cost stands at $47.2 billion, giving it an average purchase price of $73,913 per Bitcoin, including all associated costs.

“Our position now represents over 3% of Bitcoin’s capped 21 million coin supply,” said Michael Saylor, co-founder and executive chairman of Strategy.

With Bitcoin trading near $115,000, the firm is sitting on unrealized gains of over $26 billion—a remarkable paper profit that continues to validate its long-term bet on BTC, at least for now.

Crypto Lags Equities Amid Risk-On Rally

While Bitcoin has managed to post modest gains, it is noticeably underperforming relative to equities. Stock markets have rallied in anticipation of the Fed’s dovish pivot, but crypto’s tepid response suggests investors remain skeptical—particularly due to volatility, macro uncertainty, and concerns over corporate balance sheet exposure.

This divergence underscores the fact that Bitcoin and crypto assets, while often correlated with tech stocks, are increasingly being influenced by their own set of fundamental challenges, including regulation, liquidity fragmentation, and institutional hesitation.

Fed Meeting Holds the Key to Near-Term Bitcoin Sentiment

All eyes are now on the Federal Reserve’s upcoming announcement, which could be a decisive moment for Bitcoin and the broader crypto market. A confirmed rate cut may revive bullish sentiment and trigger renewed inflows into speculative assets, but mixed macro signals and structural concerns around corporate Bitcoin holdings may continue to cap upside potential.

Until a clearer picture emerges—both from policymakers and corporate adopters—Bitcoin’s price trajectory is likely to remain cautious and range-bound in the short term.