What do industry insiders think about Black Thursday?
Cryptocurrency analyst Skew says that BTC's decline has 'liquidated' positions in both directions, with long positions getting stopped out and shorts taking profits.
Placeholder partner Chris Burniske advises not to regret not selling after the FOMC meeting, as predicting market reactions is not easy. Slow down, don't overtrade, be patient, and everything will be fine in the long term.
Andre Dragosch, Head of Research at Bitwise Europe, points out that the biggest problem for the Federal Reserve now is that despite interest rate cuts, the financial environment is still tightening. Rising long-term bond yields, mortgage rates, and a strengthening dollar are all unfavorable for Bitcoin. The greatest risks BTC faces are tightening liquidity and a strong dollar. However, on-chain factors for BTC are still decent, with exchange balances decreasing, supporting the hypothesis of an increasing supply gap for BTC.
