The Eastern Han Dynasty emerged from the chaos and turmoil that followed the collapse of Wang Mang's Xin Dynasty. After usurping the Han throne in 9 CE, Wang Mang attempted radical reforms, including land redistribution and changes to the currency system. However, his policies destabilized the empire, leading to widespread discontent, natural disasters, and peasant uprisings. Among these, the most significant was the Red Eyebrows Rebellion, which contributed to the downfall of Wang Mang's rule. In 23 CE, rebel forces stormed the capital, Chang'an, killing Wang Mang and leaving the empire in a state of disarray.

In the wake of this collapse, Liu Xiu, a distant relative of the former Han imperial family, seized the opportunity to restore Han rule. He first distinguished himself as a military leader, defeating rival factions and consolidating power. In 25 CE, he declared himself Emperor Guangwu and established the Eastern Han Dynasty, with Luoyang as its new capital. Unlike the Western Han, which had ruled from Chang'an, the relocation of the capital symbolized a fresh start, one that aimed to correct the failures of the past.

Emperor Guangwu's early reign was marked by efforts to stabilize the empire and reestablish Han authority. He adopted a cautious approach to governance, reducing taxes and reviving Confucian principles to strengthen the legitimacy of his rule. Unlike Wang Mang's drastic policies, Guangwu relied on gradual reforms to restore economic stability. He also worked to rebuild the imperial bureaucracy, appointing competent officials who could help him govern effectively. By reinforcing Confucianism as the guiding philosophy of the state, he sought to restore order and unity among the people.