🔬 ETH & Microcap Trading Record After Fed
The market information from the FOMC meeting on December 10, 2025, clearly demonstrates your arguments regarding front-running and ambiguit
* Initial Pop: Right after the anticipated 25bps cut was revealed, Bitcoin (BTC) and Ethereum ($ETH) experienced a slight initial increase (ETH briefly surged almost 2%). This was the expected "rate cut means risk-on" response.
* The Decline: The surge swiftly diminished.$ETHand $BTHlost nearly all their profits in just a few hours.
* The Reason (Your Point #1): Analysts verified this was a result of insufficient dovish guidance. Fed Chair Powell's statements and the committee's split vote indicated that the trajectory for future reductions was unclear ("fewer cuts than investors anticipated"), creating new uncertainty in the macroeconomic outlook. The market lacked the confidence it required.
The analysis revealed that liquidity is moving towards assets that have greater volatility, such as microcaps.
* Asset Identity: The token $PIPPIN is recognized as a microcap cryptocurrency, frequently associated with social media/AI themes, and is based on the Solana blockchain.
* Severe Fluctuation: Its latest results illustrate the level of volatility that draws quick investment: its price surged over 450% in the month prior to the Fed meeting, with its trading volume within 24 hours frequently accounting for a substantial portion of its market capitalization.
* Decoupling: Although$ETHremained unchanged after the announcement, the movements of microcaps are influenced more by community dynamics and excitement (narrative ignition) instead of macroeconomic factors. This separation confirms the idea that rapid capital is ignoring macro indicators to pursue highly volatile, narrative-focused trades within the microcap market.
This immediate data shows that for large-cap crypto ($ETH), the anticipated event (the cut) prompted profit-taking, and the lack of guidance has trapped the market in a consolidation phase. In the meantime, liquidity pursued more swiftly.
