The Fed is about to fire up some serious liquidity as it begins buying 40 billion dollars worth of T bills every month starting tomorrow.

For traditional markets this looks like a standard liquidity move, but for crypto traders this feels like the spark that often lights the next wave. Whenever the Fed steps in with large scale purchases, it quietly boosts overall liquidity and risk appetite across the board. That usually means more capital flowing into high beta assets and crypto has always been one of the fastest to react.

If this flow continues, we could see sentiment shift from cautious to aggressively bullish. Traders will likely start positioning early, expecting higher volatility and stronger upside moves on major caps and even mid caps. This is the kind of macro backdrop that historically pushes investors to rotate into assets that outperform in liquidity rich environments.

In simple words, the money printer vibe is back and the crypto market loves that energy.