These past few days, the Federal Reserve has been on the verge of a major internal dispute. At the December 10th meeting, Powell found himself caught in the middle—everyone is betting on a 25 basis point cut tonight, but he needs to find a way to shut the hawks up and prevent everyone from thinking that further cuts will continue in January next year.

The script from the US banks suggests that Powell might play it safe, saying something like "Unless employment data crashes significantly, no rush to move," or maybe throw in a line like "Interest rates are roughly in the right place." The problem is, there is currently no internal consensus—5 people want to cut, 3 are on the sidelines, and 2 are calling for a pause. Such a split has not been seen in years.

The crypto market is also getting anxious. A rate cut is normally bullish, but if Powell's words are too conservative, tokens like SOL and ETH could go on a rollercoaster ride again. Next, we’ll have to watch every word he says closely, see how this old guy walks the tightrope between hawks and doves, and at the same time figure out what to do with our holdings.