Bitcoin Holds Steady: Holiday Liquidity & FOMC Risks Keep Crypto Traders Defensive, Says Matrixport | LIVE Updates Dec 09, 2025

Bitcoin finds its footing, but traders aren't celebrating just yet. Thin holiday markets and a looming Federal Reserve decision have the crypto crowd playing defense.

The Calm Before The Storm?

Price action looks stable on the surface—a welcome relief after recent volatility. But beneath that calm, major players are battening down the hatches. The usual end-of-year liquidity drain is hitting crypto just as the FOMC prepares its final policy move of 2025. It's a classic one-two punch for risk assets.

Why Traders Are Treading Lightly

Holiday thinned trading volumes amplify every move, turning minor sell-offs into potential slides. Add the Fed's uncertainty into the mix, and you've got a recipe for defensive posturing. No one wants to be the last one holding the bag if Jerome Powell delivers a hawkish surprise—a favorite pastime of central bankers, right after forecasting inflation that's "transitory."

Matrixport's analysis points to a market in wait-and-see mode. The big money is sidelined, preferring cash over conviction until the macro picture clears. It's a smart, if cynical, play: let the retail crowd fight over scraps in a illiquid market while the pros watch from the sidelines.

So, steady as she goes? For now. But in crypto, stability is often just the pause before the next big swing.