#DeepCreationCamp

The Federal Reserve's dilemma

Entering 2026, the Federal Reserve has completely lost its absolute control over 'suppressing inflation, maintaining growth, and stabilizing debt.' The cost of stubbornly holding high interest rates is painful: interest payments on U.S. Treasury bonds have reached astronomical levels, and every second of persistence is draining America's national fortune. When debt costs are so high that even the printing press cannot keep up with interest growth, the Federal Reserve's compromise is to enter a rate-cutting cycle; this is no longer a question of choice but a question of survival.

The central bank's prediction
The central bank predicts that the Federal Reserve will eventually have to compromise and enter a rate-cutting cycle due to debt pressure or economic slowdown, and has lowered the foreign exchange risk reserve requirement for forward foreign exchange business to 0 in advance. On the surface, it stabilizes the exchange rate, and devaluing the yuan increases exports, but in reality, it is a disguised release of liquidity, precisely irrigating core industries. Before the dollar is officially loosened, it raises the level of high-quality domestic assets. When the Federal Reserve can no longer hold on and starts to significantly loosen and cut rates, the returning dollars will have to take over domestic assets at a high level.

Signals in the cryptocurrency world

U price stabilizes
For our cryptocurrency brothers, the most intuitive feeling is the deep stabilization of the U price. Under the central bank's expectation management, the probability of significant exchange rate fluctuations in the short term is extremely low, and there may even be a slight premium. So, holding U is definitely the way to go~

Clear trends

Looking back at 2024 and 2025, when the central bank was crazily accumulating gold, many people scoffed; now looking at the rise in gold, that's quite cunning. The current logic is a continuation, and the main theme of 2026 will be asset re-evaluation under the expectation of interest rate cuts. As the most sensitive Bitcoin to global liquidity, when the interest rate tap loosens, this year's momentum will largely benefit from this prediction.