The Federal Reserve's 'Gentle Knife': Rate cuts are not a gift, but a signal!

The real danger is the coded language that retail investors cannot understand.

Recently, the hottest topic that everyone knows is—the Federal Reserve is going to cut interest rates again.

But don't rush to applaud, what the Federal Reserve is offering this time is not 'market rescue candy,' but a spiky 'hawkish rate cut.'

What is a hawkish rate cut?

On the surface, it seems favorable: interest rates are cut, liquidity is coming.

But in essence:

'I cut once now, next time? No guarantees, don’t think too much.'

Powell is now caught between two sides:

On one hand, worried about a hard landing for the economy, on the other hand, afraid of inflation reigniting.

He dares not promise the future, only able to cut rates while constantly emphasizing—everything depends on the data.

American banks can’t stand it anymore:

'In this situation, it doesn’t matter who the chairman is, they are all stubborn.'

How should the crypto community understand this?

In one sentence: rate cuts ≠ flooding the market, expectations are key.**

Everyone must not get overly excited just because they see the words 'rate cut.'

This wave is about favorable policies being realized + a tough tone, the market will be more sensitive and more volatile.

BTC may surge in the short term, but it won’t go far;

If institutions hear 'this is a one-time action, no guarantee of continuity,'

they will run faster than retail investors.

Retail investors now need to remember three points:

① Favorable policies hitting the ground may be a top signal.

Don’t chase highs!

② The Federal Reserve says 'data determines action,'

which means: the worse the economy, the more benefits the market has.

③ Holding spot positions is not a problem,

but don’t touch high leverage—this wave of double kill will happen faster.

The market will not tell you the truth,

it will only give you a fog, making you think you see the future.

Those who can walk out of this fog are not the ones with sharp eyes,

but those who remain calm forever and understand expectations.