Bitcoin Outlook: Fed’s QT Ends on Dec 1, Benjamin Cowen Says Balance Sheet May Not Improve Until 2026

Quantitative tightening remains central to crypto-market discourse after a December 1 update from COINOTAG News citing Benjamin Cowen of Into The Cryptoverse. He notes that in 2019 the Federal Reserve signaled QT would end on August 1, yet the Fed balance sheet kept shrinking through August as the final Treasury settlements cleared mid-month. The takeaway is that policy terminal dates do not guarantee immediate balance‑sheet relief, given persistent lag effects.

Cowen warns that even with QT formally finished, normalizing the balance sheet could be protracted, with potential visibility only by early 2026. Crypto readers should track liquidity shifts and policy dynamics, since the timing of balance-sheet changes can materially influence funding costs and asset pricing across the space.