Ah, something went wrong again. Can the crypto market recover? Let's take a look:

A statement from Powell caused the Nasdaq to plummet by 3.61%, close to the largest drop in recent years. Moreover, Powell's hawkish remarks didn't stop there! He specifically criticized the crypto market, stating that the Federal Reserve cannot hold Bitcoin. This led to a 5% drop in Bitcoin, which is just terrible.

This is a hard market crash; no one could predict what he said, it really was a bolt from the blue. It's not just retail investors; even Wall Street can only stand there and take the hit.

The main reason for this plunge is Powell's indication that there won't be significant interest rate cuts next year, possibly only two cuts, which has caused various assets to decline.

However, the crypto market is holding up relatively well, with Bitcoin's drop being similar to that of the Nasdaq, without much additional decline. Powell's statement about the Federal Reserve not holding Bitcoin does not affect Trump's Bitcoin strategic reserves because the strategic reserves are held by the government, not the Federal Reserve.

So on January 20th, when Trump takes office, there is still a good chance that BTC will become a national reserve.

In fact, despite Bitcoin's sharp drop, if you look at ETFs, there is still a significant net inflow of funds. What does this indicate? It shows that Wall Street views this plunge as an opportunity to enter the market, not to exit.

During this period, there may be some secondary bottom testing, but don't be afraid; these are all opportunities to get on board. Once the adjustments are done, the crypto market will set off again. Shuqin is with everyone!