July 8, 2023
After the release of the non-farm data, Mr. Xiaomai believes that the United States has only slowed down the recession, but has not changed the outcome of the recession. Although inflation has fallen now, the economy and employment are still strong, and core inflation is still very high, which is still a long way from the 2% target set by the Federal Reserve. He believes that if the Federal Reserve wants to see inflation return to its target, it must continue to raise interest rates, even at the cost of causing the economy to fall into a downturn for a period of time. CME's probability of the Federal Reserve raising interest rates in July has not only not decreased, but has risen to nearly 95%. The Federal Reserve has basically set the tone for raising interest rates in July, and it can be said that it has little to do with the non-farm data, so we will not discuss the non-farm data much. The US CPI data for June will be released next Wednesday. Compared with non-farm, CPI, especially core CPI, will be more important now.
The US stock market, including technology stocks, has experienced a correction this week, and there is no sign that the strength of Ai has ended. Teacher Xiaomai has told you before that the continued rise of the stock market may give the cryptocurrency market an opportunity to overflow funds. If the US stock market is falling, there will be even less funds choosing to enter the risky market. The sharp drop in the cryptocurrency market trading volume in recent days can confirm this view.
Although some funds are still in the market now because they are still expecting the approval of BTC spot ETF applications from institutions such as BlackRock, and these chips generally have a 20% profit, if the SEC continues to delay giving a positive response or gives a response of not approving it for the time being, then as market liquidity decreases, the price collapse may become increasingly serious.
Technically, the support level is 29500 and the resistance level is 31500. Buy spot at 27500-28500