FED LIQUIDITY WATCH | MARKET UPDATE

The Federal Reserve has increased short-term Treasury bill purchases by approximately $40 billion per month, helping to keep banking reserves elevated. This ongoing liquidity support is creating favorable conditions for risk assets.

Bitcoin has reacted positively, gaining around 2% and pushing above the $89,000 level, supported by improved market sentiment. Historically, rising liquidity tends to benefit crypto and other high-beta assets.

The key question remains whether this marks the early phase of a broader bullish cycle heading into 2026, or simply a temporary year-end liquidity effect. Regardless, current conditions suggest an environment where strong upside moves remain possible.

BTC
BTC
91,154.65
+1.14%
ZEC
ZEC
506.44
-0.19%
BNB
BNB
897.59
+2.39%

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