Recently, the crypto assets market has welcomed a new wave of rise, closely related to expectations of a potential rate cut by the Fed. Over the past day, major digital money have generally risen, with Ethereum rising nearly 6%, and DOGE even breaking through a rise of 9% at one point. Other well-known coins such as Solana, BNB, and ADA also saw growth of over 3%, while Bitcoin rose moderately by nearly 1%.

This wave of pump has led to a stampede of investors. According to statistics from Coinglass, in the past 24 hours, the total liquidation amount in the Crypto Assets market has exceeded 400 million USD, with over 150,000 affected traders. It is worth noting that nearly 80% of these liquidations were short positions, reflecting a high bullish sentiment in the market.

The core factor driving this round of market activity is the expectation of a shift in Fed policy. As inflationary pressures gradually ease and signs of weakness appear in the labor market, the market widely believes that the Fed is about to begin a rate-cutting cycle. Analysts expect that the Fed may announce its first rate cut at the upcoming meeting, likely by 25 basis points. More importantly, this may just be the beginning of the rate-cutting cycle, as market participants generally expect the Fed to continue implementing rate cuts at its meetings in October and December this year.

This potential shift in monetary policy not only affects traditional financial markets but also has far-reaching implications for the crypto market. Investors are closely monitoring every move of the Fed to adjust their investment strategies. However, the high volatility of the crypto market also reminds investors to proceed with caution and ensure proper risk management.

With the ongoing changes in the global economic landscape and the continuous development of encryption technology, the digital asset market may face more opportunities and challenges. Investors and market participants need to remain vigilant, seizing potential investment opportunities while fully recognizing the associated risks.