2026-01-08 14:26:09

The financial world in 2026 is truly turbulent. After a series of moves by Trump, global capital markets suddenly surged with underlying currents—initially aiming to stabilize the situation and ease government debt pressures, but the market's reaction turned out to be far more complex than expected. Most markets worldwide opened higher, yet US stock futures remained weak, revealing a signal: investors are cautious about policy uncertainties.

The turning point came quickly. On the first trading day of 2026, Minneapolis Fed President Kashkari gave a TV interview. Known for his hawkish stance, this time he sent a completely different signal. He mentioned that although inflation remains stubborn, rising unemployment would pose even greater challenges—implying that rate cuts are now a key consideration for the next step.

This shift was immediately picked up by Wall Street. Once expectations of rate cuts solidify, the outlook for liquidity easing becomes clear. The Dow Jones hit a new all-time high, and the S&P also gained strength. This rapid transmission from policy expectations to capital flows offers a straightforward insight for the crypto market: in an environment of loose liquidity, risk assets tend to attract more attention.

From the perspective of the first half of 2026, this change in the Federal Reserve's policy tone could be a crucial variable influencing the direction of crypto assets. Expectations of a rate cut cycle often drive capital to seek higher-yielding asset classes. Under this logical chain, the performance of the crypto market may warrant ongoing attention.

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NFTRegretter

· 10h ago

Kashkari suddenly relented, and this move is truly brilliant. --- Rate cuts are coming, and the crypto market is about to take off, but can it hold this time? --- Really, every time the Federal Reserve shifts its stance, crypto is the first to react. Fellow investors, it's time to buy the dip. --- Basically, it's just printing money, and risk assets are in favor. --- Wait, is the hawkish stance suddenly turning dovish? Wall Street is just putting on a show for us. --- When loose liquidity appears, the chosen ones in the crypto market should jump in. --- Unemployment rate vs. inflation, the Federal Reserve is finally going to cut interest rates. I've been waiting for this moment. --- Classic routine: policy expectations → capital flows → crypto takes off. This chain is foolproof. --- I don't care about new highs in the Dow; I just want to see what Bitcoin does next. --- Do people really believe this? Just listen to Wall Street's rhetoric; don't believe it all.

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TokenStorm

· 01-08 14:55

Hawkish suddenly turns dovish, is this really not a show this time? On-chain data shows that the whales have already smelled the scent, and us retail investors are about to be harvested again. --- Once the rate cut expectations emerged, I knew it would be like this. I had already backtested this pattern, but I still got blinded by FOMO [dog head]. --- The key detail is the weakness in US stock futures. The market fundamentally doesn't believe this narrative, but we still have to follow along. --- The eye of the storm is right in front of us, but frankly, I bet that the last person to leave isn't me. The probability is probably... don’t ask me. --- From a technical perspective, this rate cut cycle will raise the liquidation threshold for risk assets. You all know what that means. --- Kashkari's recent actions can be seen as giving the crypto market a cigarette. How long it can burn depends on what on-chain data tells us.

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BlockTalk

· 01-08 14:53

Hawkish to dovish, this shift is too rapid, Wall Street has already started speculating on rate cuts Kashkari really gave the market a reassuring boost with this move When rate cuts come, it's time to pay attention to the crypto world; the logic of liquidity easing has never changed Flooding the market with liquidity, risk assets are about to take off, and crypto is no exception The policy reversal is happening so quickly, I'm a bit confused... but let's see what can be earned The Federal Reserve has definitely backed down, whether it's good or bad remains to be seen Liquidity easing = crypto prices soar, this formula has never failed The Dow has hit a new all-time high, but the crypto market is still lagging... a bit slow The turning point has arrived, now it depends on where the funds will flow Once the expectation of rate cuts is confirmed, is the spring of risk assets finally here

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PretendingToReadDocs

· 01-08 14:52

Kashkari has really shifted this time, and it seems even the hawks can't hold on anymore.

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StableNomad

· 01-08 14:48

rate cuts hitting different when the fed pivots that fast... reminds me of UST in may, except this time it's actually legit macro tailwinds. statistically speaking, liquidity usually finds crypto eventually—not financial advice but the correlation coefficient doesn't lie here. smart money probably already positioned, tbh.

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GateUser-a606bf0c

· 01-08 14:33

Kashkari's hawk turn dove is real this time. As soon as the rate cut expectation emerged, the capital got excited. Can crypto still fall?

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