DASH, ZEN, DOLO and other cryptocurrencies have recently experienced significant fluctuations. What exactly is happening behind the scenes?

Yesterday, the latest inflation data was released in the United States, and the results were more moderate than market expectations. This seemingly ordinary set of data has caused quite a stir among traders.

Previously, everyone generally believed that the Federal Reserve would not consider cutting interest rates until June. Now, there are suddenly voices suggesting that action could be taken as early as April. Although the probability is not particularly high, this shift in expectations alone is enough to stir the market nerves.

Think about it, even a slight change in global liquidity can trigger the most sensitive reactions in the crypto market. Those sharp capital senses are especially alert. Once they sense that the Federal Reserve might loosen monetary policy earlier than expected, they start reallocating assets. This subtle change in expectations can have a bigger impact on the crypto space, which is accustomed to low liquidity environments, than you might imagine.

While the rhythm of history may not repeat exactly, market patterns often follow certain trends. If inflation truly begins to decline this time, it will be hard for the Fed to pretend they haven't noticed. At that point, the entire capital landscape could shift accordingly.

Now is the waiting phase. Hold your chips steadily, keep an eye on every signal from the Federal Reserve, and once the opportunity is confirmed, the gunfire will start. Springtime could indeed bring some unexpected surprises.

(Disclaimer: This article is for market information purposes only and does not constitute any investment advice. Investing in cryptocurrencies involves risks, please make your own decisions.)