AICoinOfficial

Source: Cointelegraph
Original Text: "The Crossroads Under Cooling Inflation and Tariff Shadows: How the Fed's Rate Cut Game Reshapes the Crypto Market Landscape"
The collision of data and politics - a silent battle that affects global capital.
On May 13, 2025, the U.S. Department of Labor released the April CPI data, which acted as a shot in the arm, lowering the annual rate to 2.3%, the lowest since February 2021, while core inflation remained stable at 2.8%. This data instantly ignited the market's fervent expectations for a rate cut by the Federal Reserve. However, at the same time, Trump's tariff policies and his pressure on the Federal Reserve cast a shadow over this "rate cut frenzy." Is the brief respite from inflation enough to reverse the hawkish stance of monetary policy? Can the crypto market capture structural opportunities in this tug-of-war between bulls and bears?
1. Inflation Cooling: The Hidden Concerns Behind Rising Expectations of Interest Rate Cuts
The key to the April CPI data lies in

Thailand plans to tokenize $150 million in government bonds, allowing retail investors to participate. This will be achieved through digital tokens called "G-tokens," providing investors with higher returns than bank deposits. This move aims to expand the participation of retail investors and test market reactions. The tokens will be traded on a digital asset exchange, but non-Thai citizens will not be able to participate. The global value of tokenized bonds continues to rise, especially the scale of tokenized U.S. Treasury bonds has increased to $6.9 billion.

Bitcoin is currently stabilizing above $100,000 under the support of "risk appetite" sentiment, with market optimism increasing, indicating that prices may rise further. Economic data shows a decline in inflation rates, reducing the possibility of The Federal Reserve (FED) lowering interest rates. The sentiment in the Bitcoin market has experienced a dramatic reversal, with the bull run index climbing to 80, suggesting that prices are expected to continue rising. The market has not yet overheated, with expectations that Bitcoin could break through the historical high of $110,000.

The optimism surrounding Crypto Assets is not hype, but a structural characteristic. The fear index in the stock market is higher than that of Crypto Assets, but the sentiment in the Crypto Assets market recovers more quickly. Believers hold for the long term, relying on stable supply and monetary philosophy to support their optimism. This optimistic sentiment is influenced by two groups: long-term holders and short-term speculators. The future of the Crypto Assets market looks promising, with deep intrinsic optimism.