I thought that after the bitcoin price reached 100,000, we could start the hype before Trump took office, but we never thought that we would return to the pre-liberation period.

The sharp drop last night was mainly due to the fact that two important economic data released by the United States exceeded expectations:

First, the JOLTs job vacancies in November showed strong demand for employees;

Second, the ISM service industry index rebounded sharply in December, indicating future inflationary pressure.

These two signals made the market re-evaluate the Fed's pace of interest rate cuts - traders are no longer sure that there will be a rate cut before July. According to the latest forecast of CME, the probability of a rate cut in January has dropped to 4.8%, and in March and May, it has also dropped to 39% and 51% respectively. The real rate cut may have to wait until after June, and only 1-2 rate cuts are expected throughout the year.

This directly hit the market's expectations for loose monetary policy, leading to a collective correction in the US stock and cryptocurrency markets. In particular, Bloomberg's forecast that non-farm payrolls this Friday will far exceed expectations (reaching 260,000 instead of the expected 163,000) has further exacerbated market concerns, and last night's decline can be seen as an early response to these unfavorable factors.

These economic data and the changes in adjusted interest rate cut expectations are the main reasons for the market's sharp drop last night. Keep your mind, the bull market will definitely come. #BTC