In the evening market, BTC rose nearly 6000 points in space, and ETH rose 500 points. Friends who followed Old Wang's evening strategy, this wave of big harvest must be enjoyable?!

On the eve of Powell's speech, a series of institutional fund movements and market prediction news emerged one after another, injecting strong rebound momentum into the market.

Before the Jackson Hole meeting, the Fed released multiple signals indicating interest rate cuts, and the market began to price in a possible reduction of 25 basis points or even more in the future. This expectation of easing greatly boosted buying in risk assets, making cryptocurrencies like BTC the focus of capital pursuit, leading to a frantic rise.

With large institutional orders and major funds frequently entering and exiting the market, accompanied by short positions being rapidly liquidated at key positions, a chain reaction of liquidations was triggered. The intense adjustment of leveraged funds caused the market to surge rapidly in a short period, with capital flow and trading volume sharply increasing, exacerbating short-term volatility.

Looking ahead, the BTC market remains full of uncertainty. Because after Powell's speech, if the Fed further confirms the expectation of interest rate cuts, it is likely to continue driving the market upward. However, in the short term, due to overbought technical indicators, some investors may choose to take profits, leading to price adjustments.

In the short term, we need to reasonably plan our positions and strictly set stop losses to prevent the risk of consecutive liquidations due to sudden market changes. Old Wang will provide an analysis of the early morning strategy later, so please check it in a timely manner.