Federal Reserve officials maintain their stance on interest rate projections, keeping the median fed funds rate target steady at 3.6% through the end of 2025, with a modest decline to 3.4% anticipated by end-2026. Both forecasts remain unchanged from previous estimates.
This continuity in rate expectations signals the central bank's cautious approach to monetary policy normalization. For risk assets including digital currencies, stable rate projections typically reduce uncertainty - though the elevated levels compared to historical norms continue to present headwinds for liquidity-sensitive markets.
The lack of adjustment suggests policymakers see current economic conditions aligning with their previous assessments, potentially giving traders clearer visibility for positioning strategies through the next 18-month cycle.
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.
9 Likes
Reward
9
4
Repost
Share
Comment
0/400
BearWhisperGod
· 12-10 19:33
Powell is staying on the sidelines again this time, maintaining 3.6% and waiting until next year, with liquidity in the crypto circle continuing to be suppressed...
Wait, do they really think the economic situation hasn't changed? Feels like self-deception, right?
Keeping interest rates steady sounds good, but it's actually a disguised way of draining liquidity. Holders have to endure these 18 months.
This pace... Is the Federal Reserve trying to gradually squeeze out high leverage?
Hmm, nothing new, just the old routine, continuing to observe.
View OriginalReply0
LongTermDreamer
· 12-10 19:21
Oh wow, the Federal Reserve is saying they need to stabilize again. The range from 3.6% to 3.4% is really... Whether you believe it or not, I do, haha.
In our three-year cycle, high interest rates are just high interest rates. The crypto circle has long been accustomed to this.
Stabilize expectations? I see this as just a "don't move if I don't move" tactic. Anyway, we have 18 months to grind it out.
What is a headwind? Isn't this just the old familiar liquidity pressure? We've seen even harsher ones.
If they don't change truly, it would be quite interesting. At least now we know how to play it, better than those daily flip-flops.
View OriginalReply0
LightningWallet
· 12-10 19:18
The Federal Reserve has no action again, and 3.6% stays stuck like this? The crypto market still has to continue bearing the pressure.
---
Maintaining good expectations is good, but for us, liquidity is still tight. Everyone knows this.
---
18 months to see clearly? Come on, how many times has this happened? Plans can't keep up with changing circumstances.
---
When will it come to 3.4%? It always feels like it's a distant hope...
---
The hawks have given up hope; don't expect rate cuts in the short term, everyone.
---
Liquidity-sensitive assets are under pressure, which basically means keep pushing and struggling.
---
Wow, it's "unchanged" again. Just say there's no surprise, wouldn't that be easier?
---
If this pace continues until the end of the year, it'll stay the same. Be prepared for a prolonged battle.
View OriginalReply0
ThesisInvestor
· 12-10 19:11
Oh my, it's not moving again. The Federal Reserve really likes the phrase "maintaining the status quo"...
3.6% is almost causing us retail investors to go bankrupt, and they still want to stick it out until the end of next year?
Wait, maintaining stability expectations is actually good for the crypto market? Less of that sudden policy surprise feeling...
Talking about providing traders with "clear visibility," isn't that just a tactic? Anyway, volatility will still come...
If they really keep this price level for 18 months, then whether to buy the dip or not still depends.
Federal Reserve officials maintain their stance on interest rate projections, keeping the median fed funds rate target steady at 3.6% through the end of 2025, with a modest decline to 3.4% anticipated by end-2026. Both forecasts remain unchanged from previous estimates.
This continuity in rate expectations signals the central bank's cautious approach to monetary policy normalization. For risk assets including digital currencies, stable rate projections typically reduce uncertainty - though the elevated levels compared to historical norms continue to present headwinds for liquidity-sensitive markets.
The lack of adjustment suggests policymakers see current economic conditions aligning with their previous assessments, potentially giving traders clearer visibility for positioning strategies through the next 18-month cycle.