#TrumpTariffs Brother Maji placed a bet of $33.08 million on Ethereum (ETH) against the Federal Reserve (Fed) cutting rates, and ended up losing everything in the trade.
While rate cuts are due to happen, a massive 100,000 people were liquidated within a 24 hour period, with over $200 million in funds gone from the market - including Brother Maji's over $30 million bet.
The saddest part isn't the amount lost, but rather the bloody rule in crypto; It is not about the event itself, but rather about the expectation! Expectation is the name of the game.
Retail logic: When you hear about rate cuts, you Vertically skyrocketing price!
Institution logic: Buy based on expectation of rate cuts, and then when the actual rate cuts happen sell on the retail market.
"Buy the expectation, sell the news".
Here's a scenario:
At the end of October BTC went from $110,000 to down to the insane amount of speculation of "December rate cut expectation".
In early November, expectation went away, and BTC fell from $110,000 to $80,000.
December 11 - When the Fed actually cuts rates retail began Bottom Feeding on BTC hit $95,000 with hopes of catching bottom...
Resulting in 100's of retail liquidated within 24 hours with BTC continuing downwards from $95,000 to $89,000.
Therefore, retail were left holding "the news", while Institutional had taken Profit during the "expected" phase. That is how the wide price gap was created.
