Crypto Set to Soar in Q4 After Market Shakeout
Crypto markets may rebound after a major shakeout. A bullish Q4 could follow as the Fed signals policy shifts and economic drivers align.
- Major liquidation event hit BTC, ETH, and SOL
- Fed rate cuts expected in September
- Q4 2025 could trigger a major crypto rally
Market Panic Sets the Stage for a Reversal
Crypto markets faced a brutal shakeout last week, driven by fear and liquidation pressure. According to analyst Ted (@TedPillows), the recent drop was not organic but triggered by geopolitical fears and coordinated exchange actions. He points to U.S. military moves and Trump’s comments on nuclear conflict as initial catalysts. Panic followed after markets closed, with major exchanges like Binance and Coinbase allegedly dumping assets to trigger liquidations.
Millions in BTC, ETH, and SOL positions were wiped out, creating what Ted calls a “violent shakeout.” He claims this was done deliberately to flush out overleveraged traders. If true, this could mark a significant bottom for the crypto market, with the stage now set for a rebound.
Rising M2 and the Fed’s Next Move
Despite the chaos, Bitcoin reached $120,000 without any policy shift from the Federal Reserve. This move aligns with the rising M2 money supply, hinting at strong macroeconomic undercurrents supporting the rally. Ted emphasizes that he’s ignoring short-term noise and staying long on both BTC and ETH.
A major bullish catalyst could arrive in September. Ted predicts the Fed will begin cutting rates next month, boosting investor confidence and liquidity. The recent resignation of Fed Governor Kugler could allow Trump to install a dovish voice on the board—possibly setting up a future replacement for Jerome Powell.
Such a “shadow chair” could start influencing Fed direction even before taking official charge, pushing the central bank toward a looser monetary stance.
Q4 2025: A Crypto Bull Run Ahead?
Looking toward Q4 2025, Ted sees multiple bullish drivers. If the Fed starts cutting rates and economic strength holds up, crypto assets like BTC and ETH could surge higher. Additionally, regulatory clarity appears to be improving, removing one of the major overhangs for institutional investment.
While uncertainty remains in the short term, the longer outlook paints a compelling picture for crypto bulls. If macro conditions align, the next leg of the bull run may be just around the corner.
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