Key Takeaways:
- Kraken outlines three Fed scenarios that could steer crypto market direction.
- Warsh-led policy shifts may boost liquidity and lift broader risk assets.
- Markets await Senate hearing and Fed signals to confirm policy path.
Federal Reserve Shift Could Reset Risk Assets
Monetary policy expectations in 2026 increasingly hinge on potential regime change at the U.S. Federal Reserve, with implications for crypto and broader risk assets. Kraken Chief Economist Thomas Perfumo outlined on April 15 three distinct scenarios under a Kevin Warsh-led central bank. Each path presents varying degrees of policy easing and liquidity conditions, shaping investor positioning.
Perfumo emphasized the uncertainty surrounding these outcomes,…
