Delphi Digital: The forward curve indicates that the Fed will cut rates at least 3 more times by 2026.

According to TechFlow, on December 4th, crypto research firm Delphi Digital released a new report stating that 2026 could become an important growth period for cryptocurrencies. The Federal Reserve is expected to cut interest rates again by 25 basis points to the 3.5%-3.75% range in December 2025, and will cut rates at least three more times in 2026, with rates potentially dropping to around 3% by year-end. Meanwhile, the quantitative tightening policy will end on December 1, 2025. Combined with a reduction in transitional government assets and the depletion of reserve accounts, these factors will together create the first net positive liquidity environment since early 2022. The report points out that in 2026, the policy environment will shift from being a headwind to a mild tailwind, benefiting duration assets, large-cap stocks, gold, and digital assets with structural demand support. This policy shift is described as “a controlled descent rather than a sharp pivot.”