Late at night, a major piece of news broke—the market's expectations for a Fed rate cut in December suddenly soared to nearly 90%.

This surge in expectations isn't baseless. U.S. inflation expectations for November have fallen back to 3.2%, and employment data is showing some weakness, leaving plenty of room for a rate cut. More crucially, Wall Street's big banks, which used to be cautious, are now collectively changing their stance. Institutions like JPMorgan and Nomura have urgently revised their forecasts, believing that a 25 basis point cut in December is now a certainty.

The crypto market, with its always sharp instincts, has already reacted in advance. A rate cut means looser liquidity, lower capital costs, and risk assets typically benefit from this logic—a scenario crypto players have run through countless times in their minds. Although there are still a few hawks within the Fed who might vote against it, the overall trend seems hard to reverse.

That said, when the policy actually lands, market volatility could be even more dramatic than expected. Expectations are one thing; delivery is another. Some smart money has already started positioning early, but whether this round of rate cuts can ignite the next rally depends on whether subsequent data and market sentiment can sustain the momentum.

What do you think this rate cut will bring? Share your thoughts in the comments.