The Fed recently maintained the interest rate at 4.25–4.50%, showing sustained concern over inflation issues. Meanwhile, Trump has called for a significant cut of 3 percentage points, intending to stimulate market rise. These two vastly different positions have sparked extensive discussion in the market.

The Fed's strategy aims to balance inflation control and economic stability, while Trump's stance leans more towards short-term market prosperity. This difference in policy orientation may lead to fluctuations in market sentiment.

In the short term, the market's expectations for liquidity may drive the rise of risk assets, including cryptocurrencies like Bitcoin and Ethereum. However, in the long term, political intervention may affect the Fed's independence, increasing policy uncertainty and thus amplifying market volatility.

If interest rate cuts become a reality, it may stimulate the activity of speculative funds, driving a short-term rise in the cryptocurrency market. However, excessively loose policies could also trigger a new round of inflation risks.

On the contrary, if the high interest rate environment persists, it may lead to a retreat of hot money, a decline in liquidity in the cryptocurrency market, and at the same time, increase the cost pressure on mining companies, narrowing their profit margins.

Overall, the cryptocurrency market may benefit in the short term from expectations of interest rate cuts, but in the long term, it is still necessary to be vigilant about the risks brought by policy changes. Investors should closely follow policy trends, weigh short-term opportunities against long-term risks, and make prudent investment decisions.