{"id":152941,"date":"2025-03-13T17:00:42","date_gmt":"2025-03-13T15:00:42","guid":{"rendered":"https:\/\/cryptodnes.bg\/en\/?p=152941"},"modified":"2025-03-13T16:40:27","modified_gmt":"2025-03-13T14:40:27","slug":"altcoin-struggles-amid-tight-liquidity-will-fed-action-spark-a-late-cycle-rally","status":"publish","type":"post","link":"https:\/\/cryptodnes.bg\/en\/altcoin-struggles-amid-tight-liquidity-will-fed-action-spark-a-late-cycle-rally\/","title":{"rendered":"Altcoin Struggles Amid Tight Liquidity: Will Fed Action Spark a Late-Cycle Rally?"},"content":{"rendered":"

However, altcoins have struggled to keep up, with their market growing only 14% during the same period. Major altcoins like Ethereum, Solana, Cardano, and Dogecoin have seen significant declines over the past year, raising questions about what might trigger a rally for these assets.<\/p>\n

Several factors could potentially help altcoins rebound, including Trump\u2019s ongoing crypto-friendly policies, upcoming spot ETFs for Solana, XRP, and Litecoin, and market reactions to the U.S. tariffs imposed on China, Canada, and Mexico. Additionally, concerns about a U.S. recession could shift investor behavior, potentially benefiting altcoins.<\/p>\n

However, tight liquidity in the U.S. is seen as the primary issue holding back altcoins. According to analyst VirtualBacon, the U.S. Federal Reserve\u2019s Quantitative Tightening, the depletion of the Reverse Repo Facility, and the low balance in the U.S.<\/p>\n