Stock markets took another hit as treasury yields climbed higher. The real story here? Traders have dialed back their expectations—they're now pricing in just two Federal Reserve rate cuts throughout 2026. That's a significant shift from earlier forecasts. Despite some dovish signals in the Fed's latest meeting notes, year-end liquidity constraints are keeping investors cautious. When money dries up at the end of the year, risk appetite tends to shrivel up. The combination of elevated bond yields, tighter monetary expectations, and thin trading volumes is making it tough for equities to find any solid footing. This broader macro environment will likely shape crypto asset behavior in the coming weeks.
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AirdropHermit
· 22h ago
Liquidity is tight at the end of the year, and bears are in favor... The crypto market is about to get hit along with the stock market.
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SignatureDenied
· 22h ago
Two rate cuts? Laughing out loud, the market is just comforting itself
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Running out of money by the end of the year is a risk appetite that drops to zero
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Bond yields are soaring again, how can stocks still be played really
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Liquidity exhaustion is severe this time, it's always the worst during these periods
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The macro environment is so bad that the crypto circle shouldn't expect to be better, just waiting for a dive
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Trading volume is so thin, it feels like any random bearish candle could create a pit
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The Fed's dovish signals have long been proven wrong, no one believes them
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Money evaporates by the end of the year, this pattern is the same every year
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OffchainWinner
· 22h ago
Two rate cuts? Wake up, will we still be so optimistic in 2026?
With such heavy selling pressure, liquidity at the end of the year is really the killer move.
Wait, isn't this logic reversed? Soaring bond yields should actually benefit certain assets, right?
Crypto is just following the stock market's lead this time, it's boring.
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HodlKumamon
· 22h ago
Two interest rate cuts? Bear Bear just calculated, and this probability is as heartbreaking as my average withdrawal rate(´;ω;`)
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WhaleInTraining
· 22h ago
End-of-year liquidity tightening, the crypto world is once again worried along with the stock market
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Two rate cuts? No wonder the market has been so weak recently
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When liquidity tightens, risk assets are the first to suffer; this pattern is all too familiar
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The Fed is signaling dovishness again, but traders don't really believe it... interesting
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Waiting to see if this wave will drag down crypto; it seems that recent market movements are entirely dependent on traditional finance sentiment
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NeonCollector
· 22h ago
It's the end of the year, and you're still messing around. Two interest rate cuts can't even hold up.
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DeFi_Dad_Jokes
· 22h ago
Liquidity crunch at the end of the year, this adjustment should have come a long time ago.
Stock markets took another hit as treasury yields climbed higher. The real story here? Traders have dialed back their expectations—they're now pricing in just two Federal Reserve rate cuts throughout 2026. That's a significant shift from earlier forecasts. Despite some dovish signals in the Fed's latest meeting notes, year-end liquidity constraints are keeping investors cautious. When money dries up at the end of the year, risk appetite tends to shrivel up. The combination of elevated bond yields, tighter monetary expectations, and thin trading volumes is making it tough for equities to find any solid footing. This broader macro environment will likely shape crypto asset behavior in the coming weeks.