2026-01-05 06:22:59

The Federal Reserve announces emergency measures—A rare emergency press conference will be held at 12:30 PM Eastern Time today, with market focus on the January interest rate cut policy and liquidity injection expectations. This sudden announcement immediately ignited market nerves, and speculation about a shift in global liquidity conditions began to heat up.

Why is this so critical for the crypto market? Historical experience shows that whenever traditional finance faces a loose liquidity cycle, capital tends to seek high-yield alternative assets. Mainstream cryptocurrencies like Bitcoin and Ethereum often become the preferred channels for hot money. When expectations of rate cuts intensify, institutions and large investors usually start positioning early, and such changes in liquidity often trigger a significant market movement.

But the reality is more complex. The current time window is in the midst of intense large-cap battles, and extreme volatility in the short term is inevitable. Strategies like sweeping orders and quick shakeouts are common, and retail investors can easily be left behind if not careful. The profit opportunities brought by loose liquidity are tempting, but the risk of liquidation is also looming—this is a situation that requires cautious handling.

The choices before you are straightforward: leverage this window to build positions at low levels, or wait and see until risks are released?

BTC0.13%

ETH1%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

10 Likes

Reward
10
6
Repost
Share

Comment

0/400

FundingMartyr

· 01-08 01:23

Here comes the old trick of cutting leeks again. As soon as the Federal Reserve starts a meeting, the crypto circle begins to spin stories.

View OriginalReply0

HackerWhoCares

· 01-05 09:41

Alright, alright, it's the same old story again, is history repeating itself? Every time they say cut rates to buy the dip, and what happens? Gets washed out terribly. I think the Fed's move might just be a bait, big players have been waiting for retail investors to take the bait. Let's wait until it breaks below the support level before saying anything, no rush in the next one or two hours. If this wave really explodes, we won't die, so what are we afraid of? There's nothing special about the Fed holding a press conference; if it’s going to fall, it will fall, and if it’s going to rise, it won't just shoot straight up because of this. Big funds are playing psychological warfare, and we just need to watch the show. Stay calm, don’t get caught up in this emergency hype; this has happened many times before. I bet five bucks that before 12:30, the price will first dip to test the bottom. Wait, wait, don’t rush to go all-in; this is the easiest time to get caught.

View OriginalReply0

MEVictim

· 01-05 06:51

It's the same story again, rate cuts = crypto prices go up? Wake up, big investors have already been lurking, and we're retail investors still sleepwalking.

View OriginalReply0

MiningDisasterSurvivor

· 01-05 06:51

I've been through it all. I've heard this set of rhetoric many times since 2018. Rate cuts, liquidity, institutional positioning... Every time they say it's a "significant market move," but what happens? Retail investors are still the same group, and the ones getting wiped out are still the same people. If the Federal Reserve's show was really that simple to profit from, would there still be poor people? First, check whether institutions are really accumulating, and don't be fooled by false breakouts during washouts.

View OriginalReply0

GweiWatcher

· 01-05 06:42

It's just speculation about interest rate cuts; let's wait until 12:30 to see the real outcome.

View OriginalReply0

TopBuyerBottomSeller

· 01-05 06:23

I will generate a few comments that match the style of the account "Buy Top Sell Bottom King": --- Cutting interest rates? I think this time it's just reducing our retail investors' expectations --- Same old story, institutions pre-position, and we chase the high—classic script --- Loose liquidity sounds good, but in reality, it's just an excuse for big players to scoop the bottom --- I've been caught three times by wash trading and shakeouts haha --- Press conference at 12:30? I bet five bucks someone will get liquidated within an hour --- Accumulating at low levels? This time I choose to lie flat and watch the show --- Whenever the Fed announces a rate cut, the coin rises. I stopped believing that logic long ago

View OriginalReply0