#加密市场观察

Recently, the cryptocurrency market has been quite turbulent. The trading volume of Bitcoin has remained sluggish, hitting new lows, and the US Bitcoin spot ETF has faced a continuous outflow of funds for four weeks, creating an atmosphere of unease in the market. Everyone is holding their breath, closely watching the Federal Reserve's interest rate meeting on March 19, as the expectations for interest rate cuts have become the key factor influencing the direction of the cryptocurrency market.

Looking back, in 2022, the Federal Reserve's aggressive interest rate hikes instantly 'froze' the bull market in the cryptocurrency space, causing prices to plummet. However, in 2023 - 2024, the expectations of rate cuts seem to have injected a strong dose of confidence into the market, with Bitcoin prices rebounding from the bottom and gradually warming up. There are even bold predictions: by the end of 2024, once the rate cuts are implemented, Bitcoin will soar to new heights, reaching $100,000. But this good fortune may be short-lived; if the Federal Reserve pauses rate cuts in early 2025, the market will likely plunge back into a winter.

Currently, the market is optimistic, with most people confident that the Federal Reserve will restart rate cuts in June; April and May will undoubtedly be excellent entry points, likely marking the beginning of a new bull market. After all, rate cuts are the strongest positive factor for the cryptocurrency market, whereas news like Ethereum upgrades are merely supplementary. For the vast majority of investors, the most important thing right now is to closely monitor every move of the Federal Reserve, as these rate cut expectations are tightly gripping the 'reins' of the cryptocurrency market, determining its future direction.