Is the federal funds rate about to reach a turning point? This time it’s not just a baseless rumor.
The new US government has a clear stance on interest rate cuts. What does this mean for the crypto market? Simply put — liquidity.
When the central bank signals a relaxation of policies, where does the market's money go? History has given us the answer. Every time a round of interest rate cuts begins, it triggers a repricing of risk assets. This time is no exception.
🔍 Three phenomena worth paying attention to:
→ The expectation of declining interest rates continues to strengthen. → Liquidity is expected to flow back into the financial markets in the short term. → Risk preference assets face revaluation
This is why everyone is paying attention to macro policy trends. Simply put, once the interest rate cut cycle is established, capital allocation will undergo systematic adjustments.
Interestingly, risk assets like DOGE have seen a significant increase in attention recently. As a representative of smart contract platforms, ETH tends to perform more resiliently in an environment with abundant liquidity. Lending protocols such as AAVE may benefit from increased activity.
💭 The question arises: If liquidity is really released substantially, how would you adjust your asset allocation?
Looking forward to your views in the comments section.
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InscriptionGriller
· 2025-12-25 07:25
The excuse of cutting leeks as soon as the interest rate cut cycle begins is old news. Even meme coins like DOGE can make it to the mainstream, it's really damn interesting.
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SeasonedInvestor
· 2025-12-25 02:59
Lowering interest rates is a positive signal; the logic makes sense. It was about time to loosen monetary policy.
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FortuneTeller42
· 2025-12-23 10:56
When the interest rate cut cycle comes, money starts to run around, the historical pattern is right there, this wave of ETH indeed has potential.
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CommunityJanitor
· 2025-12-22 13:41
Once the interest rate cut cycle comes, the money runs away. We really need to keep up with the rhythm... How to choose between ETH and AAVE? It feels like the lending zone will be more popular.
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MissedTheBoat
· 2025-12-22 13:40
Once the interest rate cut cycle starts... Alright, I'll just quietly wait to see who will miss out again, anyway it won't be me.
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MoonBoi42
· 2025-12-22 13:39
When the interest rate cut cycle begins, money flows to risk assets, I believe this trap logic... The question is when can it really be lowered?
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VCsSuckMyLiquidity
· 2025-12-22 13:36
As soon as the interest rate cut cycle begins, money starts to flow chaotically. I’ve heard this logic too many times, but it is indeed effective... ETH should be ready to da moon, right?
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DeFiGrayling
· 2025-12-22 13:33
As soon as the interest rate cut cycle begins, money flows into risk assets, and I agree with this logic. But to be honest, can we trust DOGE? It feels like a game for retail investors catching a falling knife.
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NFT_Therapy_Group
· 2025-12-22 13:28
As soon as the expectation of interest rate cuts came, the crazy FOMO began. We really need to seize this wave.
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GasFeeVictim
· 2025-12-22 13:26
Is the interest rate cut cycle really here? Then I need to quickly adjust my positions, this wave of DOGE indeed has some substance.
#数字资产市场洞察 $ETH $DOGE $AAVE
Is the federal funds rate about to reach a turning point? This time it’s not just a baseless rumor.
The new US government has a clear stance on interest rate cuts. What does this mean for the crypto market? Simply put — liquidity.
When the central bank signals a relaxation of policies, where does the market's money go? History has given us the answer. Every time a round of interest rate cuts begins, it triggers a repricing of risk assets. This time is no exception.
🔍 Three phenomena worth paying attention to:
→ The expectation of declining interest rates continues to strengthen.
→ Liquidity is expected to flow back into the financial markets in the short term.
→ Risk preference assets face revaluation
This is why everyone is paying attention to macro policy trends. Simply put, once the interest rate cut cycle is established, capital allocation will undergo systematic adjustments.
Interestingly, risk assets like DOGE have seen a significant increase in attention recently. As a representative of smart contract platforms, ETH tends to perform more resiliently in an environment with abundant liquidity. Lending protocols such as AAVE may benefit from increased activity.
💭 The question arises: If liquidity is really released substantially, how would you adjust your asset allocation?
Looking forward to your views in the comments section.