The current Federal Funds target rate is between 350 and 375 basis points, which traders project to rise by at least 25 basis points in December 2026. Kevin Warsh, who was sworn in as the chairman of the United States Federal Reserve on Friday, will likely slash interest rates, despite the “consensus” view that he will raise interest rates, according to author, Bitcoin investor and market analyst Lawrence Lepard. Lepard said that comments from other US officials, including Kevin Hassett, the director of the White House National Economic Council, and Treasury Secretary Scott Bessent, support the likelihood of rate cuts in 2026. He added: During Warsh’s swearing-in ceremony on Friday, US President Donald Trump said that the US would tackle its rising national debt through “growth,” signaling an expansion of the monetary supply and a lower interest rate regime. Investors, traders, and analysts continue to debate about Warsh’s impact on interest rate policy and whether he will cut interest rates, which would boost risk-on asset prices, including Bitcoin and crypto. Related: Odds against rate cuts high as new US Fed chair set for swearing in Nearly 68% of traders have priced in an interest rate hike of 25 basis points (BPS) or more by December 2026, according to the Chicago Mercantile Exchange (CME) Group’s FedWatch tool. “We want to stop inflation, but we don't want to stop greatness,” Trump said on Friday, which was met with skepticism from investors, economists and market analysts.