šØEveryone asking āwhy crypto is so weakā ā look at the backdrop.
Fed paused at 3.5ā3.75%. No rescue cut this time. Inflation still sticky (PCE ~2.8%), Powell basically saying rates are fine here. Jobs are cooling (+50K NFP) but not breaking. That combo = risk-off.
Now zoom outā¦
Crypto Fear & Greed is sitting in Extreme Fear (~20). Thatās not euphoria, thatās confusion + capitulation š®āšØ
This is the part most traders miss:
Markets donāt bottom on good news.
They bottom when bad news stops getting worse.
Right now:
⢠Inflation isnāt exploding
⢠Labor is softening, not collapsing
⢠Fed already cut before, now just waiting
Yet sentiment is pricing in disaster.
Iām not saying ābuy blindlyā. Iām saying fear like this usually marks opportunity zones, not tops. When everyone believes āFed wonāt save usā and ācrypto is dead againā, risk/reward quietly flips š§
Stay patient. Manage risk. Let panic do what it always does ā create mispricing.
#tradingpsychology #RiskManagement #CryptoMarkets

