Recently, a bombshell news circulated in the circle - former New York Fed Chairman Bill Dudley publicly stated that the Fed should stop the balance sheet reduction, as the risks of continuing to shrink would outweigh the benefits, and it wouldn't provide much practical help for interest rate cuts.

To put it simply, the background is as follows: During the pandemic, the Fed ramped up its money printing and bond purchasing, causing its balance sheet to reach a historical high of $8.97 trillion. Now, after continuous tapering, it has decreased to $6.56 trillion. Dudley's statement this time likely indicates that the Fed is preparing to slow down its tightening measures.

What does this mean for the crypto market? An improvement in the liquidity environment is often a precursor to the start of a market rally. Looking back at the massive monetary easing in 2020, Bitcoin soared from a few thousand dollars to over sixty thousand, igniting the entire market. If this policy truly shifts and market funds are no longer continuously drained, mainstream coins like Bitcoin and Ethereum are likely to enter a new upward cycle.

Last year, the Fed only hinted at a slight intention to ease, and the market started to stir. This time, the signal is clearer, and many institutional investors should have already begun adjusting their positions. Of course, it will take time to observe the implementation of policies, but at least the current environment is much more optimistic than before. Do you think this opportunity can be seized?