A liquidity injection into the crypto market can occur through either a direct or indirect channel.

From a macro perspective, the likelihood of a direct liquidity injection via rate cuts currently appears overly optimistic.

March inflation rose to 3.3%, the highest level since May 2024. In this context, with inflation remaining sticky, expectations of near-term monetary easing from the Federal Reserve appear far-fetched.

Naturally, this shifts focus to the “indirect” route. As the chart below shows, for the fourth consecutive month, the U.S. manufacturing sector has remained in expansion territory based on the latest survey data.

Notably, the ISM Manufacturing PMI came in at 52.7%, indicating continued growth in economic…