COINOTAG News Update: On December 8, market participants cited by sources indicate that the Federal Reserve‘s cumulative rate cuts through 2026 are expected to total less than 75 basis points. The projection signals a cautious monetary policy easing trajectory amid a tighter macro backdrop, with the central bank guiding a measured normalization of policy. In this regime, traders calibrate risk premia across rate-sensitive sectors, including crypto markets, where liquidity conditions and sentiment are closely tethered to policy commentary and the Fed’s published projections.

Looking ahead, traders expect a modest policy path that could keep benchmark yields in a narrow corridor, influencing liquidity for digital-asset markets. If the Fed adheres to a restrained easing timetable, Bitcoin and major cryptocurrencies may see tempered volatility as risk premia recalibrate, while institutions revisit hedging and liquidity provisioning across crypto venues and DeFi ecosystems.