The Cruel Truth: Is the Rate Cut Expectation a Scheme by the Market Makers? Powell Will Tear Apart the Bull Market Illusion

When the central bank bigwig speaks, the crypto market shakes!

In simple terms: Pulkit, the trading director of market maker Orbit Markets, has found that the options market is now 'pricing' Powell's speech on Friday—BTC prices are expected to fluctuate around 2%.

But the key point is: If Powell suddenly turns 'hawkish', saying there will be no rate cuts or even a possibility of rate hikes, the market is likely to crash harder (with more significant downward volatility).

This actually exposes the current 'policy anxiety' in the crypto world:

Expectations have already been priced in: The market has anticipated the 'rate cuts next year' scenario, and the prices of options contracts reflect this;

Contrast Kill Shot: The crypto world fears 'expectations falling through'. Referencing when Powell first turned hawkish in 2021, BTC plummeted over 10% in a single day, simply because it shattered the market's illusions.

Leveraged Chain Reaction: Currently, the perpetual contract funding rates are relatively high, and any reverse volatility can easily trigger a leveraged liquidation waterfall.

Brothers, do you think Powell will act as a 'dovish angel' or a 'hawkish devil' this time? #杰克逊霍尔会议

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