Fed expectations are being repriced
Markets are adjusting to a slower easing path. JPMorgan no longer expects rate cuts in 2026 and now projects a possible 25 bps hike in 2027. Other banks have also pushed their timelines back, while CME FedWatch shows a strong probability of rates holding at the January meeting.
For BTC and ETH, this matters because prolonged tight liquidity typically dampens momentum and favors selective positioning over narrative-driven trades.
The key shift isn’t price — it’s the liquidity backdrop.
