Delphi Digital 2026 Outlook: Expected liquidity inflection point to drive Bitcoin and gold strength

The latest report from Delphi Digital, "2026 Market Outlook," points out that despite the subdued sentiment in the crypto market, the macroeconomic environment is shifting from divergence to convergence, with global central banks beginning a rate-cutting cycle. The Federal Reserve has ended quantitative tightening, and it is expected that the federal funds rate will drop below 3% by the end of 2026, which is likely to enhance global liquidity.

The report emphasizes that the surge in gold prices reflects an accelerating trend of currency depreciation, with central banks having purchased over 600 tons of gold in 2025 and expected to continue increasing their holdings at a rate of 70 tons per month in 2026. Meanwhile, the massive fiscal deficit in the U.S. (ranging from $1.5 to $2 trillion annually) is squeezing liquidity in the funding markets and putting pressure on the U.S. Treasury market. Analysts believe that as the liquidity environment improves, inflation-resistant assets like Bitcoin will find a favorable environment, but the market will not see a repeat of the "liquidity fire hydrant" level of easing experienced in 2020-2021.