【Block Rhythm】Recent signals from the Federal Reserve are worth paying attention to. Federal Reserve Governor Barr stated on January 6th that the latest data continues to support the direction of rate cuts. More importantly, he explicitly mentioned that rates should be cut by more than 100 basis points this year——this magnitude is significant.
From a data perspective, the core inflation rate is currently approaching the Fed’s target, which means inflation pressure is gradually easing. However, there’s an issue here: the Fed’s current policy is actually restrictive, in other words, the tightening policy is dragging down economic growth.
What does this mean for the crypto space? Once rate cut expectations are established, market liquidity may improve significantly. Lower funding costs typically promote reallocation of risk assets. If the Federal Reserve truly implements substantial rate cuts within the year, the liquidity environment in the cryptocurrency market would be relatively favorable. Of course, all of this depends on subsequent economic data performance.
FRBは年内に100ベーシスポイント以上の利下げを行うのか？インフレデータが暗号通貨市場の流動性に新たな機会をもたらす
【Block Rhythm】Recent signals from the Federal Reserve are worth paying attention to. Federal Reserve Governor Barr stated on January 6th that the latest data continues to support the direction of rate cuts. More importantly, he explicitly mentioned that rates should be cut by more than 100 basis points this year——this magnitude is significant.
From a data perspective, the core inflation rate is currently approaching the Fed’s target, which means inflation pressure is gradually easing. However, there’s an issue here: the Fed’s current policy is actually restrictive, in other words, the tightening policy is dragging down economic growth.
What does this mean for the crypto space? Once rate cut expectations are established, market liquidity may improve significantly. Lower funding costs typically promote reallocation of risk assets. If the Federal Reserve truly implements substantial rate cuts within the year, the liquidity environment in the cryptocurrency market would be relatively favorable. Of course, all of this depends on subsequent economic data performance.