The noisy casino suddenly pulled the power switch.
When players in the cryptocurrency circle were tightly holding their chips, eagerly awaiting the Federal Reserve's "easing" signal to go all in and harvest the market, Federal Reserve official Goolsbee's statement directly overturned the table: "A significant rate cut too early? I absolutely do not agree."
This is not a reminder, it's a slap in the face - those in the cryptocurrency circle who expect loose policies to save the market should wake up from their dreams.
1. The Federal Reserve makes its "hawkish" stance clear: inflation is not subdued, don’t expect easing.
Goolsbee's words completely shattered the market's self-deception:
- Inflation is still the "thorn in the eye": even if the data seems to have declined, the Federal Reserve is clear - the foundation of inflation has not stabilized. Now, easing the reins and significantly cutting interest rates is just feeding inflation "blood"; this risk they will never take.
- The market is "collectively dreaming": many are convinced the Federal Reserve will ease for economic growth, but they forget that the Fed's primary task is to stabilize prices. Talking about "injecting liquidity to save the market" now is pure delusion.
2. The crypto world will face a "bloodbath": three heartbreaking truths
This cold water, for the feverish crypto world, is like a strong medicine, likely to trigger violent fluctuations:
1. Stampede may erupt at any time: too much capital has rushed in with the expectation of "rate cuts." Once that expectation collapses, this capital will flee wildly, and the scene of chain liquidations is imminent.
2. Volatility will go "to the sky": in the future crypto world, even the slightest wind will be magnified tenfold. Positive news may only be fleeting, while negative news can directly crush the market with panic.
3. The "reckless" will be eliminated: those who are all-in and hoping for a double overnight are destined to be the "sacrifices" in the volatility. It's not about who has the biggest guts in the crypto world, but who can hold on until the end.
3. Surviving is the way to turn the tables: Three life-saving principles of the veterans
In the face of the impending storm, real players have already started to leave themselves an escape route:
- Light positions are "bulletproof vests": reduce positions to below 30%, and hold cash well. This way, when the market crashes, you have the capital to buy at the bottom instead of being forced to cut losses and leave the market.
- Enter in batches, reject "all-in": stop thinking about precisely hitting the lowest point; small batches and step-by-step arrangements are a thousand times more reliable than a single all-in gamble.
- Stop-loss is the "lifeline": set a strict stop-loss level, and execute immediately once triggered. Being wrong is not scary; being completely wiped out by the market is the real loss.
Conclusion:
The imagined "rate-cut bull market" is likely to fall apart, but the bloodshed in the crypto world will never stop. Only those who can control their greed and respect the market can laugh until the end in this cruel game.$BTC $ETH $XRP #etf
