The Japanese giant has awakened! Can you still hold onto your U?
Don't just stare at the K-line, look up at the sky! The funding faucet in Japan that has been sleeping for thirty years might be tightened today!
The Bank of Japan has raised interest rates, like the biggest whale in the pond suddenly rolling over, the water flow for all the small fish and shrimp will change. For the past thirty years, there has been cheap yen flowing globally, heading to the US stock market, to US bonds, and indirectly to the cryptocurrency circle. Now, Japan is going to pull that money back.
Let me give you a harsh analogy: the global market is a big pond, and the Federal Reserve is pouring water into it (lower interest rate expectations), but Japan is now starting to scoop it out with a bucket! If US bond yields are pulled higher, it will be even harder for the Federal Reserve to lower interest rates, and one big expectation in this round of cryptocurrency market is that the tide of the dollar will come again. Now, the source of the tide might be diverging.
Don't naively think that the cryptocurrency circle is independent. When the costs for large institutions and funds change, the wind direction changes. This isn't an immediate collapse, but a cognitive elimination match where those who can't understand macro changes are destined to be harvested.
What to do?
Slow down your aggressive moves, observe the movements of the US stock market and US bonds, and wait for the true direction of the market. Crises hide staircases; those who understand will climb up, while those who don't will be swept away.
Remember this sentence: When the giants of the old era begin to turn, the players of the new era must learn to see their shadows. Every step you take must be on the light, not in the shadow.
In the market, the most important thing is not to predict every wave, but to ensure that you are always on the boat. The tide of liquidity will ultimately lift all true value vessels. Follow Hongcai and participate in every attack from Hongcai! Hongcai will announce the specific entry time and real-time news every day at the God of Wealth's home! #加密市场观察