2026-01-03 11:25:52

Recently, the actions of global central banks have become a must-read for crypto investors. China injected 1.32 trillion yuan of liquidity, which has sparked quite a discussion within the community—many see it as a bullish signal for risk assets (including coins like BTC and Ethereum). Meanwhile, the Federal Reserve has been busy as well, with an overnight repurchase operation injecting $22.8 billion. This approach feels somewhat familiar; at the end of 2019, the Fed did the same thing, leading to the sharp rally in early 2020.

Speaking of this, it's necessary to discuss how liquidity impacts the crypto market. The pattern is simple: when global central banks pump money, where does it flow? Besides stocks and bonds, risk-tolerant funds tend to splash into the crypto space, pushing up BTC, ETH, and altcoins. Conversely, once central banks start tightening liquidity, the crypto market is often the first to suffer.

Will history repeat itself? That’s a big question mark. The environment in 2026 is definitely different from 2019: inflation hasn't fully subsided, geopolitical situations are more complex than before, and regulations have tightened. Pure liquidity injections may not be enough to trigger a sustained bull market; other catalysts—like positive economic data or policy surprises—are needed to support it.

Currently, the situation is this: both China and the US are releasing liquidity, providing a cushion for the market. But whether this support turns into a trend reversal depends on upcoming economic data and how major central banks will act next. For us, keeping an eye on the Federal Reserve’s balance sheet trends and the policy directions of major central banks has become an essential part of crypto trading.

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TheShibaWhisperer

· 19h ago

The liquidity injection is coming again, but this time it doesn't seem as simple... The environment of 2019 is long gone, and now geopolitical chaos is a mess. Simply throwing money around won't do much. It still depends on how the actual economic data performs; liquidity alone can't sustain a continuous bull market.

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BearEatsAll

· 01-06 01:29

1.32 trillion sounds crazy, but can it really boost the market this time? I still need to see how the economic data unfolds. --- Same old story? I didn't profit from the 2019 wave, and I don't believe in history repeating itself this time either. --- Liquidity injections cause the crypto market to rise and fall first; this rule is damn real. --- The Federal Reserve's 22.8 billion overnight repurchase agreement feels like they're just boosting their own confidence, haha. --- The problem is, with inflation, geopolitical chaos, and regulatory hurdles, just printing money is useless. --- Central banks are all printing money, but I still don't dare to go all in; caution is wise. --- Once liquidity tightens, our crypto market will be the first to be affected; be aware of that. --- Monitoring the balance sheet has become a daily routine; if you don't watch, you'll lose. --- Both China and the US taking action does give some hope, but how long this can last is still uncertain. --- Brothers, economic data is the real decisive factor; having a lot of money doesn't help.

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FortuneTeller42

· 01-04 21:21

1.32 trillion really scared a lot of people, but I still think we need to see subsequent data to speak. Simply flooding the market might not be enough to be aggressive. Replaying history? Don't be silly. 2019 and now are completely different. Inflation, geopolitics, and regulation are the three big mountains standing there. I can't quite understand the Fed's move this time. Injecting 22.8 billion to stabilize? Feels like something is missing—a catalyst. Instead of worrying about whether prices will rise, it's better to honestly monitor the balance sheet. That’s the real key. This time it's not as simple and crude as 2020. Central bank easing ≠ prices must rise. Don't be too optimistic.

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TokenTherapist

· 01-04 00:34

The liquidity injection is happening again, but it doesn't seem that simple. Can the 2019 wave be replicated?

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BlockTalk

· 01-03 11:56

1.32 trillion liquidity injection, the Federal Reserve has injected another 22.8 billion. This rhythm is indeed familiar... but it feels like this time it won't be so simple. History never repeats exactly; the wave in 2019 was completely different from the current environment, with inflation, geopolitics, and regulation all piling up. Is simply injecting liquidity enough? It also depends on whether economic data supports it; otherwise, it’s just hot air. How the Federal Reserve’s policies will unfold is definitely something we must keep an eye on, which is a bit exhausting. Both China and the US are injecting liquidity; short-term market stabilization is okay, but can it sustain a bull market... big question mark. The key is the upcoming policy direction; a single decision could reverse the trend, which is the fate of the crypto market. To put it simply, we are still in a wait-and-see period now, not daring to go all-in, just watching the central bank’s moves.

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RunWithRugs

· 01-03 11:52

1.32 trillion sounds great, but can it really be poured into the crypto world? I'm a bit skeptical. Few truly dare to all-in; most are just watching the central bank's moves. Will the 2020 approach still work? With such tight regulation now, I think it's doubtful. Liquidity has been released so much, why are my coins still falling? This time, it's probably just hype again, waiting to be cut.

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MainnetDelayedAgain

· 01-03 11:43

According to the historical database, the operations from 2019 have been delayed for verification for 7 years, and the expected results are still on the "eventually achievable" path. Can the US-China easing this time break the cycle? It is recommended to first complete the "historical reenactment" data after 2020.

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LayerZeroJunkie

· 01-03 11:36

1.32 trillion sounds great, but how many people can really enter the crypto circle? Feels like just storytelling again. Can the 2019 market rally be replicated? The environment is completely different, don’t be too optimistic. Liquidity flooding = crypto prices rising. That logic now needs to be discounted. The Federal Reserve's balance sheet is the real boss, and central bank policies are the key. Everyone is flooding the market, but who dares to guarantee this time can spark a bull market? Having lots of money isn't necessarily a good thing; it depends on how it's allocated. Inflation hasn't subsided, and geopolitical tensions are still so chaotic. Why would the 2020 market comeback happen? Short-term cushions are just that—cushions. The trend still depends on fundamentals. This wave of liquidity is like an anesthetic shot; to truly recover, we still need economic data.

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ReverseFOMOguy

· 01-03 11:28

Is this another round of pumping? I saw that wave in 2019, but I really don't dare to bet on history repeating itself now... The inflation hasn't fully subsided, and it's a bit nerve-wracking.

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MemeEchoer

· 01-03 11:26

1.32 trillion sounds great, but I still have some doubts. Can it really take off like in 2020 this time? The central bank's liquidity injection benefits the crypto circle, the logic isn't wrong, but there are too many variables now, it feels different. Oh no, I have to keep an eye on the Federal Reserve's schedule again, so annoying, when will it finally settle down? Will history repeat itself? I doubt it, the geopolitical situation is too complicated. Short-term support is fine, but can the trend pick up? We'll just wait and see the economic data. Spending 22.8 billion USD, it does have that feel, but who knows how long it can last. Liquidity is there, money flowing into the crypto space, this logic can't be broken, mainly depends on whether other catalysts are strong enough. I agree with the question mark on 2026, after all, the environment has indeed changed, and we can't just copy the 2019 script. Tighter regulation has indeed reduced the effectiveness of liquidity injections, we need to wait and see the follow-up actions. Inflation hasn't fully subsided, this is a trap, relying solely on liquidity probably isn't enough.

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