These past couple of days, I've been going through research reports from several Wall Street institutions and noticed they're all focused on the same thing: short-term interest rates are quietly creeping up again.

What does this mean? It means the price for banks to lend to each other is getting more expensive. You might ask, what does this have to do with us?

It’s a big deal. It’s like the market’s “faucet” is starting to tighten. Analysts at established institutions like JPMorgan and TD Securities are all discussing the same possibility—if this tension continues, the Fed might have to step in next year, for example, by injecting funds into the market through buying Treasuries.

What does this mean for our digital assets?

The impact is nonlinear. First, if the market senses a “liquidity crunch” in the short term, everyone’s risk appetite will shrink. Guess which assets get hit first? Yep, the high-volatility, high-risk ones.

But the story could turn around. If this pressure actually forces the Fed to loosen policy earlier or more aggressively, the situation changes completely. Once liquidity eases, the support for the market in the medium and long term will be obvious.

There’s another point we can’t ignore: this introduces a new variable into the market, so volatility will definitely increase.

Here’s how I see this professional signal:

No need to overthink it. We’re not money market experts, but just knowing this is happening is enough—it at least helps explain why the market has been a bit jittery lately.

It’s important to distinguish priorities. The Fed meeting next week is the real show. Policy signals matter much more than these technical ones.

Lastly, year-end is always a turbulent time. Make sure your positions can withstand some turmoil—flexibility is worth more than anything right now.

Think of this as an internal “check-up” for the financial system. Whether it escalates into a big problem depends entirely on how the Fed, the “firefighter,” decides to respond. Just keep an eye on it—don’t scare yourself.

(Summary based on analysis from multiple Wall Street institutions, not investment advice)