actually crypto is people...crypto doesn't need the feed but it will come the time that the FED will call for crypto 💪💪

Greetings and welcome, my dear friends and esteemed readers.
This is YOUPO bringing you a new analysis and a highly significant market update. In today’s article, we will delve into the Federal Reserve meeting and its impactful decisions. We will provide a comprehensive economic analysis, discuss the fundamental aspects of the market, and focus on technical analysis to forecast expectations for the upcoming days and weeks.
Today’s article is packed with valuable insights, and I kindly ask for your usual generous support. Now, let’s embark on this journey and dive into the main topic.

The Federal Reserve Meeting: Key Takeaways
As you all know, December 17-18 marked the Federal Reserve meeting, an event eagerly anticipated by investors, much like children waiting for Santa Claus. However, instead of gifts, the event brought decisions on interest rates and economic policy for 2025.
The outcome, in summary, was a quarter-point interest rate cut, bringing the rate to 4.25%. This was in line with analysts' expectations, who had predicted this adjustment. While this decision is considered highly positive and anticipated, as always, things are never straightforward in the financial markets.

Jerome Powell’s Remarks and Market Reaction
Jerome Powell disrupted the party mood in the financial world with his comments on monetary policy for 2025. With a stern demeanor, like a teacher threatening his students with failure, he announced that interest rates would only be cut once next year, despite analysts hoping for three cuts. It felt like being promised a lavish meal but only receiving a fraction of it.
Powell also emphasized that the Fed would not rest until inflation reaches 2%, the sacred target it has been pursuing for years. Currently, inflation stands at 3.1%. While these statements are not alarming, markets began to feel uneasy, especially with discussions surrounding the new president, Donald Trump, who might ignite a trade war with China, reminiscent of playground squabbles.

Uncertainty Under Trump’s Policies
Trump’s potential policies on tariffs, taxes, and immigration could reshape the economic landscape unpredictably. Powell acknowledged this by highlighting “significant uncertainty regarding the economic outlook over the next two years,” further unsettling the markets.

The Market’s Irrational Reaction
The markets reacted negatively to the meeting, even though analysts' expectations of a quarter-point rate cut were met. This irrational reaction stemmed from concerns over Trump’s potential influence and disappointment over fewer rate cuts than anticipated.
In reality, the market’s decline was not directly caused by the Fed but by manipulation from major players. Retail investors, expecting a market rally after the rate cut, opened high-leverage buy positions. However, large investors capitalized on this, triggering stop losses and exerting selling pressure.

Understanding the Larger Players’ Strategy
These large players used the opportunity to close old positions and open new ones at lower levels. This explains why the decline is temporary and will likely be followed by a rebound. So, there’s no need to worry about this short-term drop.

Why This Analysis Matters
The Federal Reserve’s decisions directly influence global financial markets, making it essential for traders and investors to stay informed. By understanding the strategies of larger players and keeping an eye on monetary policies, you can position yourself for success even in turbulent times.
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Thank you for reading!