Powell's remarks led to a sharp decline in the Nasdaq Composite by 3.61%, approaching its largest drop in recent years. His hawkish comments did not stop there; they also impacted the cryptocurrency market, stating that the Federal Reserve has no authority to hold Bitcoin, which caused Bitcoin to drop by 5%, having a significant effect.

This is a strong sell-off, and his comments are unpredictable, impacting both retail investors and Wall Street. The main reason for the plunge is Powell's statement that there may only be two rate cuts next year, triggering declines in various assets.

In fact, this drop may be a correction due to previous excessive gains, just rather intense, for three reasons:

Firstly, the Federal Reserve has no legal authority to purchase reserve Bitcoin, and Bitcoin is not a legal tender;

Secondly, many people are not interested in Bitcoin, and not everyone agrees with it, similar to gold which also has non-acceptors; if everyone enters the Bitcoin market, its appeal may decrease;

Thirdly, the expectations for rate cuts in 2025 have been reduced from four to two, and both the Nasdaq and Bitcoin's previous surges were too strong, with the decline simply reflecting market demand.

The bull market will not end quickly, 'picking up passengers', the Trump family has heavily invested in Ethereum and is currently facing losses, still averaging down after yesterday's sharp drop. Spot users need not worry too much; the adjustment period is expected to last about a month, with Bitcoin showing a long-term upward trend, and a positive outlook for next year's market. This year's market is gradually coming to an end, and next year will be even more exciting, with the climax yet to begin.