Crypto market waterfall, US stocks evaporated more than $1 trillion in one day. Are you scared or indifferent now?
There is another reason for the decline today: 9.4 Blockchain Anniversary!
Seven years ago today, on September 4, 2017, China announced a ban on ICOs, causing the market value of the currency circle to evaporate by 80%. At that time, exchanges such as Binance, OK and Huobi also went overseas. Today's market crash reminds people of that bloody historical moment. The current overall market value of cryptocurrencies is $2.04 trillion, and Bitcoin accounts for 56.4% of the market share. Both US stocks and gold are on a downward trend. The S&P 500, Dow Jones and Nasdaq fell 2.12%, 1.51% and 3.26% respectively. Historically, financial markets often perform poorly in September. Traders are watching the Fed's interest rate cuts and key data points, while also counting down to the US presidential election in November.
The latest US economic data has once again raised concerns about a recession. The August ISM Manufacturing PMI report showed that the US economy continued to shrink, with the actual value of 47.2, lower than the expected 47.5 and 46.8 in July, new orders fell to 44.6, and prices paid rose to 54.0.
Affected by this, the FedWatch data of the Chicago Mercantile Exchange showed that traders raised the probability of a 50 basis point rate cut in September from 30% to 39%, but the expectation of 25 basis points still dominated at 61%.
The key macro data will be the August employment report released on Friday. Economists predict that new jobs will increase from 114,000 in July to 160,000, and the unemployment rate is expected to fall to 4.2%.
Chief technical strategist Larry Tentarelli pointed out that the market is extremely sensitive to data at present.
