Fundamental update, on Wednesday evening at 20:30 Beijing time, the U.S. released its February CPI data, which was significantly below expectations. The U.S. February non-seasonally adjusted CPI year-on-year rate recorded 2.8%, a new low since November last year; the U.S. February seasonally adjusted CPI month-on-month rate recorded 0.2%, a new low since October last year. The U.S. February non-seasonally adjusted core CPI year-on-year rate recorded 3.1%, a new low since April 2021; the U.S. February seasonally adjusted core CPI month-on-month rate recorded 0.2%, a new low since December last year.

After the CPI data was released, U.S. bond yields rose by 4.287%, and the three major U.S. stock index futures expanded their gains, with the S&P 500 index futures rising by 1.5%, Nasdaq index futures rising by 1.8%, and Dow Jones index futures rising by 1.2%. Spot gold briefly rose by $6, trading at $2918.46 per ounce, while Bitcoin surged above 84000. This is one of the few positive pieces of news recently, providing a strong boost to the current investment market.

For the cryptocurrency market, I believe the positive impact in the short term is limited. For the Federal Reserve, it's considered good news, but I think it may not drive a rate cut in the short term. However, it has increased market expectations for three rate cuts. Therefore, while catching the dip, do not enter blindly, as there is no desire to break above 84000 after Bitcoin surged. Conservative investors may consider entering once it stabilizes above 84500, and if it does not stabilize, they can directly enter around the 84000 line. At the same time, digest this wave of positive news. It is also necessary to maintain short-term fluctuations for adjustment.