12/19 Wall Street's collapse of Bitcoin, what's the next step?

Last night, I couldn't sleep, waiting for the Federal Reserve's interest rate decision, and finally, 250,000 people were liquidated, with long positions liquidating over 600 million. The repeatedly mentioned risk control must set stop losses; opportunities are always there, leaving the market is to enter better next time. I hope everyone was not robbed by this wave of decline.

Core logic of the sharp drop:

1. The market itself has a demand for a correction. After Bitcoin broke through 74,000, there hasn't been a decent correction. According to Fibonacci, a stronger correction looks at 0.382, around 95,000.

2. After the Federal Reserve announced the interest rate decision, the dot plot showed only two rate cuts in 2025, which is too far from the market expectation of four, triggering a significant drop in risk assets. The Nasdaq fell over 3%, and gold dropped 2%. Market sentiment shifted from hot to cold, which is the fundamental reason for the sharp decline.

3. Powell stated that he would not include Bitcoin in the balance sheet, indicating that the Federal Reserve's acceptance of Bitcoin is low, further dampening market sentiment.

Future expectations:

1. From the distribution of chips, 96,000-98,000 is the most concentrated range, with a support effect. The focus will be on whether it can stabilize in this range.

2. The daily level is starting to correct; do not chase highs and sell lows. Even if it is a decline, it is a volatile drop. Enter from the right side with a short-term perspective, and do not fixate on the pattern.

3. The market is unpredictable; we can only follow and choose directions with higher probabilities. The price itself is not important; without a top or bottom in mind, operate as you feel.

Operational advice:

In a contrary market, you must choose certainty, abandon the mentality of speculation; speculation can only be for trading, not for investment. Focus on the 96,000-98,000 range. If it can validate support, then low leverage and low buy, with risk control set below 94,500, target 102,000-103,000.