The US dollar has been struggling recently, dropping to its lowest point in five weeks. What's behind this? US economic data is starting to cool off, and there are market rumors that the next Fed chair might be more dovish, which has suddenly heated up expectations of rate cuts.

What does this mean for crypto? Theoretically, a weaker dollar usually pushes capital to seek returns in other assets, and crypto naturally makes the candidate list. More importantly, rising expectations of rate cuts are themselves a signal of looser policy—borrowing costs go down, and risk assets become more attractive.

But don’t celebrate just yet.

Market expectations can change faster than the weather, and the real answer will only come after next week’s Fed meeting. Going all in now? That’s a bit rash.

Here are a few suggestions for you to consider: First, the news has already been priced in—chasing after a price spike will most likely get you burned. Second, if you’re holding mainstream coins like BTC or ETH, don’t worry too much about short-term swings; in a bull market cycle, holding on is the real skill. Third, don’t get too hung up on the dollar index; what really matters is whether the rate cut actually happens and whether funds are still flowing into spot ETFs.

My take? This is a positive signal, but don’t treat it as a call to charge in. When market sentiment is good, it’s even more important to stay calm—expectations aren’t reality, and it’s not too late to make a move once the trend is truly confirmed.