$ETH Tonight, continuing yesterday's view on interest rate cuts, up and down needle, then short.
If you can't sleep, you can pay attention to the following. When the up and down needle ends at night, then short.
ETHUSDT
Perp
3,220.45
-2.49%
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道格ETH策略
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$ETH about interest rate cuts. An analysis to enhance understanding.
After the interest rate cut, as soon as the first wave hits, go short immediately!!!
That's what I said.
The essence of an interest rate cut: the previous ones were all speculative hype based on emotional expectations, and retail investors will rush to go long, while institutions will push prices up accordingly.
But you need to understand. An interest rate cut does not mean that once it's done, money will flow directly into the cryptocurrency market, causing an immediate surge.
On the contrary, once the expectations of the interest rate cut are over, advanced retail investors will see that prices aren't rising. When emotions turn to panic, they will sell off.
At this time, institutions: due to the impact of previous emotional expectations, many retail investors in the market are going long, causing a long-short imbalance. Therefore, institutions will sell off at the high points (they often sell in the first wave) before they have a chance to escape, and all the retail investors who were brainwashed into thinking the interest rate cut would lead to a surge will be wiped out.
By the way, they will lower prices. Then, at the bottom, they will acquire a large amount of low-priced chips. When the benefits of the interest rate cut are truly realized in the cryptocurrency market, that is when retail investors will have money to invest in cryptocurrencies. When market liquidity is higher, they will continue to wash out chips and push prices up.
Reference 2023, 2024
#美联储重启降息步伐
After the interest rate cut, as soon as the first wave hits, go short immediately!!!
That's what I said.
The essence of an interest rate cut: the previous ones were all speculative hype based on emotional expectations, and retail investors will rush to go long, while institutions will push prices up accordingly.
But you need to understand. An interest rate cut does not mean that once it's done, money will flow directly into the cryptocurrency market, causing an immediate surge.
On the contrary, once the expectations of the interest rate cut are over, advanced retail investors will see that prices aren't rising. When emotions turn to panic, they will sell off.
At this time, institutions: due to the impact of previous emotional expectations, many retail investors in the market are going long, causing a long-short imbalance. Therefore, institutions will sell off at the high points (they often sell in the first wave) before they have a chance to escape, and all the retail investors who were brainwashed into thinking the interest rate cut would lead to a surge will be wiped out.
By the way, they will lower prices. Then, at the bottom, they will acquire a large amount of low-priced chips. When the benefits of the interest rate cut are truly realized in the cryptocurrency market, that is when retail investors will have money to invest in cryptocurrencies. When market liquidity is higher, they will continue to wash out chips and push prices up.
Reference 2023, 2024
#美联储重启降息步伐
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