Market Analysis on August 1st
Good morning, while we were sleeping, some negative news came in, causing BTC to drop to 115,000:
1. The U.S. Core PCE Inflation unexpectedly warmed up in June, which is not conducive to interest rate cuts.
2. Trump modified the tariff rates, raising the tariff on Canada from 25% to 35%, with the higher tariffs set to take effect on August 1, 2025.
3. Iran stated that the U.S. needs to compensate for the losses incurred during the Israel-Iran conflict before nuclear negotiations can resume.
This is the market, this is trading, 365 days a year,
it is difficult to predict when a negative event will occur.
Coinbase released an update on its Bitcoin holdings this morning,
the on-chain data has not changed much, and the decline is more influenced by macro factors.
We remain optimistic for the long term, suggesting everyone allocate over 60% to BTC,
while buying less of altcoins to mitigate risks.
For assets other than BTC, such as SOL and BNB, they can be held patiently, and buy in batches as they drop.
