A significant drop is coming
On May 8th, Powell is very likely to make hawkish remarks!
Now the media is spreading that Powell is going to "hawk up", and the market may start dropping ahead of time, possibly starting on Tuesday or Wednesday, with a sharp decline likely on Thursday during the announcement.
Moreover, recent U.S. employment data has been relatively stable, with no major issues in the unemployment rate or non-farm data.
After the last remarks, U.S. stocks fell by 2%.
This time, Bitcoin could drop by $2000-$3000, falling to around $93,000 - $94,000, with a worst-case scenario of around $82,000 - $86,000.
Currently, it seems highly likely that the Federal Reserve will announce an interest rate cut in September this year.
The probability of a rate cut in September is greater than in May and June.
Old Powell will not step down before September, and gold will enter a consolidation range from May to September.
Cutting rates too quickly may not be a good thing, so a rate cut does not equal a rise! Because cutting rates too fast can lead to inflation issues.
Thoughts before Powell's speech on May 8th:
If it stabilizes around 94,700-95,000,
and does not drop further, it starts to rebound, it's time to buy in.
Wait for it to rise above 97,000, then sell to short, operating back and forth in this range to capture price differences in the consolidation market.
