Investors are once again waiting in vain for a soft monetary policy. According to CME FedWatch, the probability of an interest rate cut by the Fed in May is only 2.7%. This means that cheap money remains in the past for a long time to come.
For the cryptocurrency market, this is a serious signal. Assets that depend on liquidity, particularly BTC, will not receive stimuli for growth. Instead, we should expect a protracted phase of instability with minor fluctuations and no clear trend.
In such an environment, the best strategy is to be cautious.
Focus on assets with strong utility and stay away from "hyped" projects that are counting on a quick reversal of Fed policy.
The market requires discipline, not illusions.
Hasty bets on a reversal can be costly.
