Attention crypto market! Three major bombs hitting this Wednesday, huge shock warning!
Three heavyweight macro events clustered this week (July 30 - August 1), the cryptocurrency market is likely to experience significant volatility, be sure to buckle up!
1. Wednesday (July 30): The Federal Reserve sets the tone - the lifeblood of the crypto market!
Interest rate decision + Powell's speech: This is the core of the core! The market generally expects a pause in rate hikes, but the key lies in Powell's hints about the future rate-cutting path. Any hawkish (delaying/reducing rate cuts) signals will severely impact risk assets, with Bitcoin and Ethereum being the first to suffer; dovish (hinting at impending rate cuts) signals may trigger a rebound in the crypto market. Every word from Powell will be magnified and interpreted by the market, leading to instant and intense volatility.
2. Thursday (July 31): US GDP - A thermometer for risk appetite
US Q2 GDP data: Reflects economic strength or weakness. Stronger than expected: may briefly boost risk appetite, but reinforces the expectation of 'higher rates lasting longer,' which is more bearish for the crypto market in the medium term. Weaker than expected: signals recession risks, significantly depressing market sentiment, and cryptocurrencies, as high-risk assets, are easily sold off.
3. Friday (August 1): Non-farm employment - A direct driver of rate cut expectations
Non-farm employment report: The heat of the job market is key to the Federal Reserve's decision-making. Strong data (high job additions, wage increases): extinguishes rate cut expectations, strongly bearish for Bitcoin and other cryptocurrencies, and a stronger dollar will create pressure. Weak data: raises rate cut expectations, potentially beneficial for the crypto market, possibly stimulating a rebound in risk assets.
Survival guide for the crypto market this week:
Keep an eye on the screen and be prepared: The market sentiment can change rapidly around these three time points (especially after the resolution, Powell's speech, and the non-farm employment announcement), making prices prone to sudden crashes or surges.
Linkage is key: Pay close attention to:
Dollar index (DXY): A rise is bearish for crypto, a decline is bullish.
US stocks (especially the Nasdaq/S&P 500): Crypto market risk appetite closely follows the US stock market.
Gold: Traditional safe haven, sometimes briefly aligned with Bitcoin's movements (especially when risk aversion dominates).
Beware of false breakouts: The moment data is released, prices often jump or plummet violently, do not blindly chase prices up or down, be wary of traps that lure in buyers or sellers.
A storm is coming, volatility equals opportunity! Stay sharp and respond flexibly! Follow for timely interpretations!
