2025-12-17 14:20:16

Rather than focusing on the ups and downs on the candlestick chart, it's better to look at the real driving force behind it. Recently, the market's attention is not on Bitcoin's price movements itself, but on a larger variable—the next chairman of the Federal Reserve. Trump has already leaked the news that former Fed Governor Kevin Woor likely to succeed Powell. Once this news broke, the probability of his appointment surged to the top of market forecasts, and experienced traders in the circle have already started adjusting their strategies overnight.

I have been tracking the Federal Reserve's movements over the years, and Woor has two "trump cards" that will directly influence the flow of funds over the next six months:

The first is his unique "dual-track" approach—cutting interest rates while shrinking the balance sheet. It sounds contradictory, but it’s actually a strategy of "loosening on one hand and tightening on the other." Deutsche Bank's recent analysis report pointed this out; he aims to support the economy through rate cuts while gradually selling off the large positions on the Fed's balance sheet. This combination may seem complex, but its core purpose is to precisely control market liquidity. Don't wait for a continuous influx of cheap funds into the market anymore; any new liquidity will be marked with an expiration date.

The second, even more critical point: he blames the Fed entirely for inflation. Woor has publicly stated multiple times that the real culprit behind rising prices is not supply chain issues, but the Fed's unlimited money printing. Once he takes power, "fighting inflation" will shift from an "important task" to the "top priority," much more aggressive than Powell's stance. As soon as CPI data shows any uptick, he may take immediate action, and the policy shift could happen faster than expected.

You probably want to know whether this is good or bad for your holdings. My view is "beneficial in the short term, but with endless long-term risks." Don't be fooled by the positive signals released earlier. There may be capital inflows in the near future, but the long-term tightening policy expectations are already taking shape.

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GateUser-beba108d

· 2025-12-20 13:54

Once Woosh takes office, liquidity will have a shelf life, so careful planning is really necessary... Wait, can the combination of interest rate cuts and balance sheet reduction really be implemented simultaneously?

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StakeOrRegret

· 2025-12-20 02:12

Wosh taking the stage really signals a change, as the dual-track system combined with a series of measures has directly strangled liquidity. Those holding positions later on should be cautious.

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BearMarketBro

· 2025-12-18 09:49

If Wosh really rises to power, our current rebound might just be a smoke screen. --- Dual-track system sounds pretty fancy, but honestly, it's just about choking off liquidity. Wake up, everyone. --- Cutting interest rates while shrinking the balance sheet? Isn't that playing with words? If they really do that, the market will be panicked. --- Damn, now we have to relearn the Fed's new boss's temper. Isn't that exhausting? --- Inflation is all about printing money? Fine, then let's prepare for a hard landing. --- The good news earlier was just a trick; in the end, people still have to spit it out. I've seen too many routines like this. --- "Validity period" liquidity? That term makes my head buzz; feels like we're about to get chopped for leek. --- Powell is considered gentle, but Wosh's temper flips immediately when CPI comes out. Be mentally prepared. --- Now we have to track the new chairman again. When will this day finally end? --- The inflow of funds is just a bait; the real harvesting moment is probably still to come.

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IntrovertMetaverse

· 2025-12-17 14:49

Wosh's set of tactics is basically boiling a frog in warm water. First they harvest the leek, then they cut the meat, and there's no escape.

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DefiSecurityGuard

· 2025-12-17 14:46

ngl, this walsh pivot sounds like a classic honeypot setup for retail... dual-track tightening? more like dual-vector exploit waiting to happen. DYOR before you stack anything based on fed chair speculation, not financial advice but i've seen this narrative play out 46 times already this cycle.

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FundingMartyr

· 2025-12-17 14:42

Damn, what a slick move by Wosh with this "cutting interest rates on the left and shrinking the balance sheet on the right," sounds like they're trying to squeeze every last drop of liquidity from retail investors. Dual-track system? To put it nicely, it's really just changing tactics to harvest retail investors, promising hope on one hand while secretly closing the net on the other. If CPI jitters a little, they’ll strike. This guy is much harsher than Powell. I'm really starting to feel uneasy now. There might be a surge soon, but I think it's a big trap. The long-term tightening expectations are already here, don’t be fooled by the hype. This game, it’s no longer about the K-line; it all depends on how the Fed and those folks play it.

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GasFeeVictim

· 2025-12-17 14:29

Quantitative easing and tightening are really a double-edged sword; short-term hype is fun, but long-term balance sheet reduction hits you hard. --- It's another case of "liquidity easing while tightening"—it might just be a prelude to cutting the grass. --- Dual-track system sounds sophisticated, but frankly, it's just trying to precisely cut us. --- Whenever CPI fluctuates, they resort to tough measures—this style of operation is really aggressive, so be prepared to run at any moment. --- Wait, why does this logic seem to be foreshadowing the rapid rate hikes to come... --- Early vampire-like behavior, followed by a direct margin call—I've seen this routine too many times. --- Basically, it's about attracting retail investors in, then clearing the market with a wave of balance sheet reduction. --- Blaming the Fed for inflation is a good story, but if they really start moving, the entire market will tremble. --- Don't be fooled by the words "interest rate cuts"; combined with balance sheet reduction, that's the real deadly move.

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