🔽 Inflation expectations in the U.S. are decreasing
Short-term forecasts have fallen to 4.2%, while long-term forecasts have stabilized at 3.2%.
Why this is good: • Americans expect slower price growth in the future • For the Fed, this is a signal that it can keep the rate low. • The market is starting to price in rate cuts.
Why this is important for the crypto market: • Less inflationary fears = more chances for a soft Fed policy • Soft policy means more liquidity • Liquidity supports all financial markets, including crypto.
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🔽 Inflation expectations in the U.S. are decreasing
Short-term forecasts have fallen to 4.2%, while long-term forecasts have stabilized at 3.2%.
Why this is good:
• Americans expect slower price growth in the future
• For the Fed, this is a signal that it can keep the rate low.
• The market is starting to price in rate cuts.
Why this is important for the crypto market:
• Less inflationary fears = more chances for a soft Fed policy
• Soft policy means more liquidity
• Liquidity supports all financial markets, including crypto.