FBS Analysts Link Fed Signals To A Potential Crypto Comeback

FBS , a leading global broker, has published a new expert analysis exploring how macroeconomic shifts, especially the normalization of the US Treasury yield curve, may create growth opportunities for the crypto market in 2025.

After two years of an inverted yield curve - a widely watched recession signal - the spread between the 10-year and 2-year US Treasury bond yields is beginning to rebound. FBS analysts believe this development could mark a turning point for investor sentiment and market liquidity, with digital assets among the first to benefit.

Historically, yield curve normalization coincides with expectations of interest rate cuts, as central banks prepare to support slowing economies. In the current cycle, declining inflation and rising political pressure on the Federal Reserve are fueling anticipation of a move toward lower interest rates. This is already reflected in market pricing, and crypto markets are paying attention.

The report highlights that Bitcoin has formed a bullish technical pattern - a cup and handle, with a key resistance level at $105 000. A breakout could open the door to a rally toward $157 000, or even $240 000. At the same time, altcoins are showing signs of life, with the Altcoin Season Index pointing to a possible momentum shift away from Bitcoin dominance.

While short-term volatility remains a risk, FBS analysts emphasize that macro signals from bond markets to CPI trends now suggest a more supportive environment for cryptocurrencies and other risk-sensitive assets.

Users can read the full market breakdown and crypto forecast in the latest .

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Disclaimer: This material does not constitute a call to trade, trading advice, or recommendation and is intended for informational purposes only.

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