"Fed cuts rates by 50 basis points: short-term rebound, long-term concerns!"
At a time when the global economy is facing uncertainty, BitMEX co-founder Arthur Hayes's views on the Fed's possible 50 basis point rate cut this time are eye-catching. He warned that although the rate cut may trigger a short-term market rebound, it is only a symptom of the deep-seated problems in the global financial system, which may eventually lead to a larger price drop.
Short-term benefits and long-term hidden dangers coexist
Hayes believes that the current US economy is relatively strong, and GDP data in the past eight to nine quarters have shown sustained growth. He questioned the necessity of rate cuts and pointed out that if the Fed continues to relax its policy, it may accelerate inflation and affect the long-term health of the economy.
In contrast, Chris Aruliah, the head of institutions at ByBit, holds a different view. He pointed out that the general slowdown in the global economy and geopolitical complexities are weakening investor sentiment. Although the rate cut may boost the crypto market in the short term, he also stressed that we should be vigilant to potential uncertainties.
Behind the short-term rebound is the deep-seated concerns of the market. In the face of future challenges, we should remain vigilant and adjust our investment strategies in a timely manner. Follow Boshi to get more professional market analysis and unique insights!