Yili Hua stated that the adjustment period of the cryptocurrency market lasting for two months may be nearing its end. Although Bitcoin has risen to $93,000, BCH has reached a recent high, and sectors like WLFI have also performed well, Ethereum and the overall cryptocurrency market's gains still lag behind the U.S. stock market and the favorable macro environment.
This round of correction, lasting about 60 days, is the result of multiple factors: the liquidity tightening in the industry triggered by events last October, the impact of the traditional four-year cycle, expectations of interest rate hikes in Japan, and the shocks from the U.S. government shutdown all played a role. Currently, it appears that these negative factors have gradually been digested by the market.
With the appointment of the new chairperson of the Federal Reserve confirmed—another important position that holds a friendly attitude towards the cryptocurrency sector after the U.S. Securities and Exchange Commission—the market's policy environment is expected to improve. With the dual drive of rising interest rate cut expectations and cryptocurrency-friendly policies, the subsequent market trend is worth looking forward to. Investment requires not only sharp judgment but also patience regarding market cycles.
