Today I traded BTC, ETH, ADA, YFI, and it was also a losing day.

Although I didn't lose much on the contracts, the spot market dropped too much, and I didn't stop loss in time, making today's trading feel quite difficult and unrewarding.

Even though I managed to avoid the period of the biggest drop, the spot I hold still caused a significant drawdown in my balance.

This makes one wonder whether to reduce transaction fees or to decrease the holding of BNB.

The bear market has come; regardless of the cryptocurrency, they are all on a downward trend. Even if you are BNB, it is the same.

Based on the summary thoughts after the event-driven trading:

Powell's last speech created too many expectations, and almost all markets were waiting for the speech at 22:00. However, the market's reaction indeed confirmed this speculation. The reaction in the cryptocurrency space around 22:00, especially after 22:00, shows just how wild this interest rate cut expectation is.

All cryptocurrencies exploded, completely without looking back, and this is precisely the time to make big money by following the trend.

However, this profitable sentiment only lasted for less than a night. From around 4:00 the next morning, the logic of this event-driven trading had already quietly turned. This turning point indicates that the main force has already begun to quietly distribute chips. The resulting phenomenon is that BTC is oscillating downward, causing almost all cryptocurrencies to oscillate downwards as well. Until today, most cryptocurrencies have returned to their original stretched positions or even lower.

So the summary is: When an event-driven explosion causes a massive stretch, especially when Ethereum reaches a stretch of over 9% and other mainstream coins are stretching over 10%, we need to consider reducing positions or even liquidating directly.

Because this clearly shows an environment of jealousy and greed, and this is precisely when the main force is frantically distributing chips.

I think this is a very suitable time to use robots for grid arbitrage in a downward trend, which is a knowledge point to remember for next time.

Conversely, after experiencing a violent drop and a second bottom test, we can perform grid arbitrage for an upward trend.

One good aspect of grid arbitrage is that it ignores volatility; as long as the trend is judged correctly, it can almost guarantee profits. It’s just a matter of how much profit there is.