Prepare Yourself: What to Expect in the Market Over the Next 20-25 Days.
On August 4th, I experienced a loss of $790 from my spot wallet and $65 from futures trading. I had sold some tokens around 11 AM, even though they were already at a loss. It turned out to be the right move, as the next day, altcoins plummeted by about 50%, marking the largest drop since 2022.
These events led me to hold off on investing in any altcoins until August 20th. Today is that day.
During the last FOMC meeting, interest rates were not cut, signaling the market's belief that the dollar needs to strengthen. Consequently, the dollar index is rising, and the crypto market is facing a significant correction.
However, with an interest rate cut now almost certain in the upcoming September meeting, and the market having already corrected, the next 20 days leading up to that FOMC meeting are likely to be quite bullish. This could be an opportune time to invest.
By the time the meeting occurs, it's probable that most tokens will have already seen substantial gains. When the announcement comes that the interest rate has been cut by 50 basis points, many will view it as positive news. However, this could turn into a "sell the news" event.
Bitcoin might see a quick spike upward before starting to decline, pulling altcoins down with it. But remember, this drop is likely to be temporary. In the long term, an interest rate cut is bullish.
Plan and prepare accordingly.