Recently, the market sentiment has shown a significant shift. According to the latest data, the probability of the Fed cutting interest rates in January has fallen below 20%, currently at only 19.9%, while the probability of maintaining the interest rate has exceeded 80%. How abrupt is this change? Just last week, the probability of a rate cut was still above 30%.
According to the schedule, the Fed will hold meetings on January 28 and March 18. Based on current market expectations, the likelihood of a rate cut by March remains low. What does this mean? The high interest rate environment will last longer, and a significant easing of the market's liquidity is unlikely in the short term.
This is an important signal for the cryptocurrency market. The interest rate policy directly affects the attractiveness of risk assets—when interest rates remain high, the returns from traditional finance become sufficiently enticing, weakening the momentum for capital inflow into the cryptocurrency market. Investors need to reassess their allocation strategies in this interest rate environment.
Now I would like to hear everyone's opinion: in the context of sustained high Intrerest Rates, what do you think about the market rhythm in the coming months?
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DegenMcsleepless
· 5h ago
Oh no, in just a week it fell from 30% to 20%, this change is too fast... I guess I have to hold on a little longer.
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faded_wojak.eth
· 5h ago
Damn, it fell from 30% to 20% in a week? The speed of this reversal is insane, it feels like the Fed is playing mind games with us.
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LayerHopper
· 5h ago
In a week, it fell from 30% to 19.9%, the speed of this reversal is incredible, it feels like the Fed is playing tricks.
It seems that we really have to endure high interest rates for a while, traditional finance is draining resources, and the crypto market can only wait.
We might be sideways until March, it's so boring.
Since the funds are running towards fixed deposits, we should adjust our mindset and stop chasing the price.
The Fed's play is a bit harsh, and the market is still digesting.
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WenAirdrop
· 5h ago
Interest rate cuts are far away, we need to be prepared for being locked in.
It feels like in the short term we should hold our coins and wait for the Fed to change their stance.
It's another consequence of high interest rates; the TradFi vampires are really something.
My judgment is that we will see a period of consolidation, don't expect a big pump.
This rhythm... we should have seen it coming, the market is just like this.
Recently, the market sentiment has shown a significant shift. According to the latest data, the probability of the Fed cutting interest rates in January has fallen below 20%, currently at only 19.9%, while the probability of maintaining the interest rate has exceeded 80%. How abrupt is this change? Just last week, the probability of a rate cut was still above 30%.
According to the schedule, the Fed will hold meetings on January 28 and March 18. Based on current market expectations, the likelihood of a rate cut by March remains low. What does this mean? The high interest rate environment will last longer, and a significant easing of the market's liquidity is unlikely in the short term.
This is an important signal for the cryptocurrency market. The interest rate policy directly affects the attractiveness of risk assets—when interest rates remain high, the returns from traditional finance become sufficiently enticing, weakening the momentum for capital inflow into the cryptocurrency market. Investors need to reassess their allocation strategies in this interest rate environment.
Now I would like to hear everyone's opinion: in the context of sustained high Intrerest Rates, what do you think about the market rhythm in the coming months?