#BTC pubic hair theory.
The following facts are known:
1. Technology stocks’ financial reports were disclosed. Except for Tesla’s poor financial report, other financial reports were actually normal.
2. Yesterday’s single-day decline in U.S. stocks was the largest in the past two or three years, but the trading volume was not large.
3. There will be an interest rate meeting on July 31. Previously, the market expected that the probability of interest rate cuts before September was 100%, and the probability of interest rate cuts in July was less than 10%.
4. The U.S. election is currently confusing. After the assassination of Trump, it was Biden who fell. When everyone thought that Trump was stable, Harris, a new variable, was added. From the moment Trump was assassinated, it was officially announced that the struggle between the two parties had been completely put on the table, and no one was pretending, and all means were used.
5. There were a large number of call options bought on August 2. Usually, such a large number of call options bought would not be done by retail investors.
Combining the above points, a conclusion of the pubic hair theory is: the sharp drop in US stocks in the past two days is the result of Wall Street's coercion, aiming at the early interest rate cut at the interest rate meeting on July 31. The large number of call options purchased in advance in August are the bullets ambushed in advance for this matter.