Breaking! The Federal Reserve's Interest Rate Cut Direction Changes, Will the Crypto Market Boil?
Major news! According to CME's "FedWatch" tool data, the Federal Reserve is very likely to maintain the current interest rates unchanged at the FOMC meeting on May 7, with the possibility of an interest rate cut being only 8.3%. However, market expectations for a rate cut in June have surged, with the probability reaching 57.8%, attracting widespread attention.
Once the Federal Reserve cuts interest rates, it will trigger a series of chain reactions. A rate cut means increased market liquidity, lower funding costs, and more capital will flow into the market seeking higher returns. The crypto market, as a high-risk, high-reward investment field, is likely to become an important direction for capital inflows. Looking back at the pandemic period from 2020 to 2021, the Federal Reserve massively cut interest rates, releasing a large amount of liquidity, causing Bitcoin prices to soar from the bottom directly to a high of $69,000, while other mainstream digital currencies like Ethereum also surged, ushering in a magnificent bull market.
Recently, the crypto market also welcomed a significant piece of good news—regulation has eased, and American banks have been allowed to participate in crypto asset activities. This move undoubtedly injects a shot of adrenaline into the crypto market, with a large amount of hot money ready to make a move in the digital currency market. The Trump hero dog Conan in the primary market has a strong IP and good narrative, with promising prospects! 币安王牌meme群
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