The latest FOMC meeting minutes of the Federal Reserve's final interest rate decision of the year have just been released, and the signals behind it are worth paying attention to. According to an analysis from a financial media institution, FOMC members explicitly expressed willingness to consider the possibility of further rate cuts. It sounds significant, but a close reading of the minutes reveals that there’s actually nothing particularly new.

The most interesting change is this: the Fed’s stance has clearly shifted towards a dovish approach. Most rate decision-makers are contemplating further rate cuts, which somewhat indicates they are somewhat concerned about the current economic situation. But don’t get too excited; the actual policy direction still depends on inflation data. In other words, soft inflation data is the real trigger for rate cuts; slightly softer data alone isn’t enough.

For the crypto market, a rate cut cycle usually leads to increased liquidity, which is generally positive for asset prices. But this is only true if inflation continues to weaken and doesn’t rebound. So, the next thing to watch is the monthly CPI data—that’s the key variable that will determine the Fed’s next move.