Yesterday, many friends may be worried that the good news of CPI will cause the US stock market to fall. In fact, there is no need to worry too much. Yesterday, the Russell 2000 index rose sharply, indicating that investors have begun to expect interest rate cuts to come. In the past, technology stocks were favored because they were defensive assets, but now investors are beginning to believe that the Federal Reserve is about to adopt a defensive interest rate cut policy, which is good for the market. Therefore, investors have begun to buy a large number of small-cap stocks.
In other words, when the economy is bad, friends are more willing to buy Bitcoin and Ethereum to avoid the decline caused by insufficient liquidity of altcoins. But when economic expectations improve, fewer people will invest in Bitcoin and Ethereum, and more people will speculate in altcoins. In short, this is what it means. But this news may be late to reach the currency circle. I hope it will be helpful to everyone's investment.