Recently, there have been rare divisions within the Fed, and it may face the situation of dual dissenting votes from the board for the first time in 30 years. Although the mainstream faction led by Powell remains cautious, Waller and Bowman strongly support a rate cut. This intensification of internal contradictions has sparked market speculation about the direction of Fed policy.

If the Fed really starts to cut interest rates, it could have a profound impact on the cryptocurrency market:

First, interest rate cuts may lead to increased global liquidity. Over the past two years, the Fed's aggressive interest rate hike policy has caused a large amount of funds to remain trapped in the banking system. Once interest rates are cut, these funds are likely to flow back into the market, some of which may go towards high-risk, high-return crypto assets.

Secondly, historical experience shows that interest rate cut cycles are often associated with rising Bitcoin prices. Although history does not repeat itself simply, ample liquidity usually leads to increased market activity, and this basic logic still applies.

Furthermore, the internal divisions within the Fed may lead to policy uncertainty, which in turn could intensify market volatility. For cryptocurrency investors, this volatility may present new investment opportunities.

In the current situation, experienced investors usually adopt the following strategies:

1. Keep a close eye on the movements of the US Dollar Index, as the depreciation of the dollar is often related to the appreciation of Bitcoin.

2. Stay cautious and avoid over-investing, leaving funds reserved for positioning after the market direction is clear.

3. Pay attention to the upcoming Fed FOMC meeting results, especially the situation regarding dissenting votes and whether there are any hints of a rate cut timetable.

Although the internal divisions within the Fed may exacerbate market volatility in the short term, the warming expectation of interest rate cuts could be a favorable factor for the cryptocurrency market in the long run. Investors should remain vigilant, closely monitor market trends, and make rational allocations rather than blindly chasing prices up and down.