The crypto market is on edge as traders await the U.S. Federal Reserve’s upcoming policy meeting, where speculation is mounting that Quantitative Tightening (QT) could soon come to an end.
If confirmed, the move could mark the start of a new wave of liquidity – one that many believe would ignite the next major rally for Bitcoin and altcoins.
Crypto analyst Crypto Rover sparked attention after posting a chart suggesting that the Fed may end QT as early as next week, hinting that a return to Quantitative Easing (QE) could trigger explosive growth across the digital asset market. “Once QE starts… altcoins will explode,” he wrote, noting the historical correlation between Fed easing cycles and crypto bull runs.
THE FED MIGHT END QT NEXT WEEK!
ONCE QE STARTS… ALTCOINS WILL EXPLODE! pic.twitter.com/iy6lYEKTma
— Crypto Rover (@cryptorover) October 25, 2025
Bitcoin Volatility Hits Historic Lows
According to on-chain data from CryptoQuant, Bitcoin’s daily price fluctuations have fallen sharply in recent days – just 2% on October 21 and 3% on October 22. Analyst Maartunn described this calm as “the quiet before the storm,” noting that such low-volatility periods often precede major market moves.
He pointed out that traders appear to be waiting for a clear macro signal from the Federal Open Market Committee (FOMC), with Bitcoin consolidating tightly as liquidity expectations shift. Historically, these conditions have often acted as springboards for strong upside moves, particularly during transitions from tightening to easing monetary policies.
Volatility Is Drying Up 🌬️
Bitcoin’s intraday moves are shrinking — just 2% on Oct 21 and 3% on Oct 22.
That’s calm before the storm: low activity, low momentum, traders waiting.
Classic squeeze setup before the next breakout. ⚡#Bitcoin #BTC #Crypto pic.twitter.com/xDWcTYe3nG
— Maartunn (@JA_Maartun) October 25, 2025
Banks Expect QT to End Soon
Market observers now believe that the Fed could announce the conclusion of its QT program as early as this week. Both JPMorgan and Goldman Sachs have reportedly predicted a shift in policy, one that could reintroduce liquidity into traditional and crypto markets alike.
This potential pivot echoes past cycles in which easing monetary conditions fueled significant rallies across risk assets. Analysts note that previous transitions from QT to QE have coincided with steep Bitcoin and altcoin price surges.
Analysts Eye Breakout and New Highs
Bitcoin is currently trading near $111,600, posting a 4.8% weekly gain and maintaining an impressive 20% rise since the start of the year. Some traders interpret this steady climb as early positioning for a bullish Fed outcome.
Renowned market strategist Michaël van de Poppe stated that he expects Bitcoin to reach a new all-time high in November, potentially followed by Ethereum rallying to $5,000 and altcoins doubling in value.
His view aligns with the growing optimism that a liquidity reversal could reinvigorate the crypto market, particularly if the Fed signals an official end to QT.
What’s Next for the Market
If the Federal Reserve confirms a shift toward a more accommodative stance, analysts expect renewed institutional demand and capital inflows into digital assets. As history suggests, these liquidity-driven phases have often marked the beginning of new bull cycles – particularly for altcoins, which tend to outperform Bitcoin during early QE expansions.
For now, the market waits. But if the Fed indeed pauses tightening next week, it could mark the beginning of one of the most significant turning points for crypto in 2025.
The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.
Source: https://coindoo.com/crypto-news-fed-may-end-qt-next-week-will-this-ignite-a-massive-altcoin-rally/
