The Federal Reserve's end of quantitative tightening has caused quite a stir in the financial markets. It's like a tightly strung bowstring suddenly relaxing. For more than two years, this largest global "pump" has been continuously siphoning dollar liquidity from the market, making funds scarce and expensive, and the crypto market has been particularly suffocated, making life quite difficult.

Now that the "tightening spell" has finally been lifted, theoretically, the market should be able to catch its breath and might even see a wave of upward trends. But we can't be too optimistic; we must clearly recognize that stopping the withdrawal of funds and starting to inject liquidity are completely different matters. Stopping the withdrawal merely means that funds are no longer being pulled out, but bringing the existing amount of funds in the market back to normal levels will take time. During this process, the market needs time to digest the expectations brought by this news, and everyone's views and actions regarding the market may differ, which could very likely lead to increased market volatility. It might go up one moment and down the next, and we could even see a scenario where both longs and shorts get squeezed, causing significant losses for investors. So, at this time, we must not blindly chase after highs; it's essential to remain calm and operate cautiously.

However, this situation is not entirely bad news. In the long run, it signifies a shift in the market narrative; the turning point of the cycle has already appeared. Take Ethereum, for example; it is like a potential player that has been limited in its development due to a shortage of funds. Now that liquidity has improved, it's as if new vitality has been injected into it, and its ecological vitality and innovative applications will certainly regain attention. Sectors like Layer2, DeFi, and Restaking, which have been building up momentum for a long time, are like buried treasures that may gradually be discovered by the market as liquidity increases, welcoming a small wave of development.

In summary, the end of the Federal Reserve's quantitative tightening brings both opportunities and risks. We retail investors must stay vigilant and seize this opportunity for rational investment. Recently, I’m preparing to make a big move; you have ambition, I have opportunity, let’s join in 聊天室 to witness #加密市场回调 #BTC .