The probability of the Federal Reserve cutting interest rates in September is extremely high, and they are about to inject liquidity!
Those in the crypto space know that whenever the dollar is loosened, cryptocurrencies tend to rise. During the liquidity injection in 2020, Bitcoin surged from $3,800 to $69,000; this time it might be the turn of other coins to explode, especially those altcoins that have dropped significantly.
Recently, the market has been quite interesting: when Bitcoin dropped to $58,000, large funds secretly purchased 120,000 coins, clearly taking advantage of the low prices to stock up, waiting for the price to rise after the interest rate cut. Regular players can now choose between two types of operations:
Buy spot: Buy more during a big drop, and invest slowly during a small drop. Pay special attention to two types of coins—those related to Federal Reserve policies, such as Ethereum, which can earn interest on savings; Solana, which institutions favor, and mainstream coins that have previously plummeted by over 70%, especially those that have hit rock bottom, as they are likely to be driven up by funds.
Play contracts: Before the interest rate cut, the market will intentionally fluctuate to wash out positions, so don’t go all in at once. Wait until the 5-day moving average turns upward and the ratio of short positions being liquidated exceeds 200% before boldly going long.
But there’s a pitfall to be aware of: the Federal Reserve may cut rates again in October, and the market in September-October could be the craziest, but after the interest rate cut is firmly established, there might be a sudden crash. The signal for topping out is simple: when even those who usually don’t touch coins start asking how to buy shitcoins, quickly sell in batches and secure your profits!
In summary, now is a great time to make money by leveraging the liquidity injection, but don’t be greedy; if you need to run, just run, and don’t wait until you’re at a loss to regret it.
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