Grayscale Views Fed Rate Hike as Mid-Cycle Adjustment

Following the Federal Reserve's decision to raise interest rates by 25 basis points to a range of 3.75% to 4% on September 16, 2026, Grayscale research head Zach Pandl characterized the move as a mid-cycle adjustment rather than a cycle shift. Pandl noted that unlike the aggressive tightening cycle that began in 2022, this increase is unlikely to significantly alter capital allocation, drawing comparisons to the Fed's isolated rate hike in 1997.