2026-01-07 02:21:34

Looking back at the market rhythm over the past few years, the wave in October 2023, the wave in November 2024, and the wave in September 2025, each time the market has been weaker than the last. The main logic behind this is quite clear — in recent years, we’ve been caught in the Federal Reserve’s balance sheet reduction cycle (from June 2022 to December 2025), with liquidity continuously tightening, which has made the crypto market increasingly cold.

But this time is different. The Federal Reserve’s balance sheet has finally turned upward, returning to the level of August last year. The upcoming rhythm will be to inject at least hundreds of millions of dollars each month, signaling the start of a real balance sheet expansion cycle.

What does this mean for altcoins? Historical data shows that altcoins are actually amplifiers of market liquidity. When liquidity is abundant, altcoins double in value; when liquidity is tight, altcoins halve or even lose half again. The principle is that simple.

At this point in time, we are exactly at the beginning of a new bull market. From the liquidity cycle to the performance of altcoins, the logical chain indeed looks promising.

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ShibaOnTheRun

· 01-07 02:51

Is the balance sheet reduction finished? Then I need to quickly add to my altcoin positions.

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DegenRecoveryGroup

· 01-07 02:48

Liquidity injection is here, is the altcoin season coming? After years of continuous decline, we finally get this... The Federal Reserve's move is crucial. The previous waves all failed, can this one turn around? Liquidity amplifier, no doubt about it. Betting everything, all in on altcoins. In those years of balance sheet reduction, whoever survived wins. Finally, the time to turn upward has arrived. I believe in this logical chain, just see how long it can rise.

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RektRecorder

· 01-07 02:41

The moment of looking up finally arrives, the altcoins are about to take off Liquidity amplifier, this time really different The years of balance sheet reduction were truly torturous, now I can finally breathe Honestly, I've been waiting too long for the Federal Reserve's liquidity injections Altcoins are just that simple, liquidity is everything I respect this logical chain The starting point has just begun, and there's still a long way to go The previous waves were indeed worse each time

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potentially_notable

· 01-07 02:36

The expansion is here, is it time for the altcoins to take off? I really respect the term "liquidity amplifier," the data over the years really supports it. The Federal Reserve finally isn't shrinking anymore, are our good days coming? Honestly, we've been numb from being cut in the previous waves. Is this time really different? The dream of altcoin doubling is starting again, everyone. During balance sheet reduction, it's all about being ruthless; during expansion, it's about going full throttle. Clear logic, but worried about poor execution. Injecting hundreds of billions every month, just thinking about it gets me excited. I accept this logical chain, but the premise is that the Federal Reserve doesn't keep reversing. Altcoin amplifier, this name really fits. Standing at the start of a bull market? Feels like we've said this many times already.

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