Author: @0xChainMind, Crypto KOL
Compiled by: Felix, PANews
CZ predicted the recent crash as early as 2020, and in addition, Federal Reserve Chairman Powell stated that the Fed cannot hold Bitcoin, while Trump's government reserve plan has been thwarted. The current market conditions may be unclear to many; what is the 'truth' behind the current market decline?
The past two days have been a nightmare for all cryptocurrency investors, with Bitcoin dropping about 15%, crashing the entire crypto market. Market sentiment quickly shifted from 'the bull market has arrived' to 'the bull market is over.' But few know that this may be part of a government plan to 'drive away' all the weak holders from the market.
After Powell's speech, the market began to show slight adjustments, as Powell stated that the pace of fighting inflation has slowed.
These words imply they do not intend to lower interest rates. It is well known that low interest rates are a key driving factor behind bull markets.
Inflation data has also been released, coming in below everyone's expectations. As a result, the probability of a rate hike in March rose to 46.9%. But something seems off.
This macro factor's bearish signal seems to be the only reason for the decline.
During the decline, Trump's campaign team has been actively accumulating assets. In just two days, they bought over $70 million worth of ETH, WBTC, and other altcoins.
This inevitably raises thoughts of potential market manipulation.
The market is overheated, and it's clear the government has decided to cool it down.
This is beneficial for both the market and the government. Because it's much easier to accumulate Bitcoin at lower prices.
If you think the beginning of this article is just to attract readers, you are mistaken.
Back in 2020, CZ tweeted: Waiting for the new headline: #Bitcoin 'plummeted' from $101,000 to $85,000.
Now CZ has once again posted: 'Waiting for the new headline: #Bitcoin hits a new all-time high again.'
This tweet clearly reflects CZ's optimism and shows a clear understanding of what is happening.
The only other thought the author had after CZ's tweet was that the price might also pull back to $85,000. This is why caution is necessary in trading now to avoid taking on unnecessary risks.
However, as shown in the chart below, this price level may soon be bought up.
Given all the information, this decline is clearly just a routine fluctuation. This is necessary for the market because when everyone is just holding, the market cannot continue to rise; a new wave of buying is needed right now.
As mentioned earlier, it is advised not to engage in blind trading at the moment. This is an unnecessary risk, especially if you already hold positions. The only thing you might consider is to cautiously buy Bitcoin in the $85,000 to $87,000 range.
