The U.S. stock market led to the collapse of Bitcoin last night. Last night, the U.S. announced that the unemployment rate in July was 4.3%, which was higher than the expected 4.1%. This was bullish for gold, silver and Bitcoin. The slight increase lured Bitcoin bulls to get on board. Subsequently, Genesis Wallet transferred large amounts of BTC and ETH, suspected of executing bankruptcy liquidation procedures. At this time, the smart leeks had realized that something was wrong, and they dumped the stocks and ran away. Only then did Bitcoin fall from 65,000 to around 64,500.
Until 22:00, U.S. stocks began to plunge, with Nvidia plummeting 30%. Bitcoin no longer pretended to be serious and directly staged a waterfall market. The leeks on the car had no time to escape, and Bitcoin had fallen below 61,000 in the morning.
Non-agricultural data, the US dollar index, US stocks, and crude oil all plummeted, and only the safe-haven gold price soared. Fears of economic recession have increased expectations for interest rate hikes, and the rate of interest rate hikes is also increasing. However, Bitcoin and Ethereum have been fluctuating, and the battle between bulls and bears is fierce. At present, the chain has begun to diverge, so be careful and steady.
The directions of BTC and ETH on the chain are not quite the same. Although the bulls are not lagging behind, we need to be cautious. It is estimated that the weak exchange rate of ETH has entered the countdown.
(Basically, global stock markets have fallen in the past two days) The market has also been warned. It is difficult for the United States to control the situation now, and interest rate cuts have been announced. It is likely that the expected short-term stretch will eventually fall.
Historically, rate cuts are usually good news for risk markets, but this process may take some time, perhaps months or even years, before the market really starts to rise. Market fluctuations in the short term are really hard to predict, and sometimes the market may fall unexpectedly.
For example, the decline of Bitcoin last night may be a signal that the market may have greater fluctuations. As for how the market will go in the future, we have to continue to observe.
In addition, I would like to remind everyone to control risks when investing. Don’t blindly believe that the market will continue to rise and then increase leverage investment when you hear that the Federal Reserve may cut interest rates. We need to be more rational and careful.
The new round of market conditions cannot be based on previous data!
Look at the data from last night. Such a big positive news was interpreted as an economic recession, exacerbating the panic of retail investors selling. The US dollar index, gold, US stocks, Bitcoin, and Ethereum all plummeted! So are there any hedging tools in this economy?
Which tool will at least shrink a little bit? Looking at the actions of large institutions in recent years, Buffett has been cashing out. Cash is king. What are the tycoons that can manipulate gold, such as BlackRock and giant whales, doing?
BlackRock has deployed Bitcoin. How long will Bitcoin last in the long run, with a value of hundreds of thousands of dollars? 5-10-20 years? As a retail investor, can you keep pace with institutions?
If you can, you can hold these multiples!
Do your own financial planning
Short-term: Do short-term things
Medium-term targets
Long-term investment
Allocate your financial funds well and shoot where the bullets are needed, only then can you win!
No new funds coming in
The total amount of stablecoins is the same as it was two years ago, and the market value of Bitcoin and altcoins is also close to the highest point two years ago. The only difference is that the total market value of altcoins other than ETH is only half of what it was then - and the difference in the market is that all the funds are in Bitcoin, and people's fomo on altcoins is no longer affected.
Will things get better after the interest rate cut? Will a large amount of funds that earn interest on government bonds return to the stock market and overflow into the cryptocurrency market?
If the above three problems in the cryptocurrency circle do not break the circle, come up with new narratives, or increase new traffic, and we only hope that more stupid people and more money will come in for a fomo wave, so that we can complete the ritual of this round of bull market, I think it will be a bit difficult.
One day in the cryptocurrency circle is like one year in the real world. The industry is constantly changing, and the opportunities to make money are constantly changing. There are small changes every day and big changes every three months. Small retail investors who do not have much investment experience and can only buy randomly are experiencing the most difficult bull market.
In the current market, after making predictions again and again, you should all feel the malice of the market. It is better to allocate a position that can be used for attack or defense. It will feel good when it goes up, and it will also feel good when it goes down.
To achieve this effect, you must control the total number of u and hold high-quality assets even if they fall.
When will the spring of Shanzhai arrive?
When market funds are limited, most funds only buy BTC, and as soon as BTC falls, funds flee.
So the days of Shanzhai are not easy. When will the spring of Shanzhai come? At the end of this year or early next year?
We have to wait until the Federal Reserve cuts interest rates three times, then the market will have money and there will be a spillover effect. If the big pie cannot contain it, the money will overflow to the copycats.
There is a high probability that money will be released in September this year. Over the years, most of the copycat markets started in October. Sure enough, it has come to this step again. There are still two months left in October. Perhaps the market will start to react in mid-September. The dawn is finally coming.
It's too hard, brothers. Even the bear market was not so hard. The magnitude and duration of the pullback are only one aspect. What's more hard is the process of re-recognizing the crypto bull market, which is the same for everyone.
It can be seen that every stage in the future will be new and unprecedented. We must be more cautious in playing the market in the future and redefine bull and bear markets.
