#比特币市场波动观察

Factors of Bitcoin's own characteristics: Bitcoin is highly speculative, with extreme price volatility. When market sentiment changes, investors' panic can be magnified, leading to large-scale sell-offs. Moreover, it has no physical assets or cash flow to support its value; the price depends on the confidence and expectations of market participants. Once expectations change, the price is significantly impacted.

Overall market risk appetite declines: After the Federal Reserve signaled a cautious monetary policy, the overall market risk appetite was affected. Investors, in order to reduce risk, decreased their allocation to risk assets like Bitcoin, shifting funds to safer asset classes, resulting in a sharp drop in Bitcoin's price.