🚨Powell's speech triggers a crash in cryptocurrency: 250,000 liquidations, is a super crash imminent?
In the early hours of today, Powell stated that the Federal Reserve would not participate in the government's plan to hoard cryptocurrencies, and the Federal Reserve's meeting lowered the interest rate expectations for next year. This news led to significant volatility in the cryptocurrency market.
Since Bitcoin rose above $90,000, it has experienced four sharp declines. The first three sharp declines consumed a large amount of buying pressure, and this latest sharp decline has led to a prolonged sideways and bearish trend, with bottom-fishing capital facing another heavy blow, making a strong short-term comeback difficult. Particularly at 3 AM on the 19th, after the announcement of the Federal Reserve's interest rate decision, Bitcoin plummeted from $104,800 to $100,303, with a short-term drop of 4.3%. As of the time of writing, Bitcoin is quoted at $98,971, with a nearly 24-hour drop of 5.85%.
According to Coinglass data, in the past 24 hours, the total liquidation amount in the cryptocurrency market reached $702 million, of which long positions accounted for $608 million and short positions for $93.57 million, with over 25,300 people being liquidated.
Some opinions suggest that the market may be using Powell's remarks to initiate the most brutal cleansing before the altcoin bull market, and there are even concerns about a super crash of 20,000 points. Meanwhile, the U.S. core index, the S&P 500, also experienced a significant drop, reaching its lowest point in 20 years.
However, policies are still moving towards monetary easing, and the impact of the U.S. elections has yet to manifest. The month of power transition on January 20, 2025, and the financial report release period in the fourth quarter of 2024 are worth looking forward to.
Investors are advised to buy quality assets on dips, such as Bitcoin and Ethereum, but there is no need to rush to act at the moment. Investment opportunities after Christmas can be monitored, and cryptocurrency investors should still proceed with caution and develop steadily.
Puppies themed after Musk, Ethereum chain, 16,000+ holding addresses! A bull market must be ambushed a bit!
