This morning, the market was awakened by a 'black swan'.
Trump announced over the weekend that he would impose tariffs on some European countries, and the EU quickly retaliated, leading to a surge in risk aversion sentiment.
The cryptocurrency market evaporated 115 billion dollars in just a few hours, with the total market value falling back to 3.21 trillion.
BTC led the decline, briefly dropping below 92,000 dollars, while ETH also fell but remained above 3,200.
Altcoins suffered even more, generally dropping over 10%, with funds clearly fleeing; only XMR rose against the trend.
This is a typical risk-averse decline:
BTC falls < ETH falls < Altcoins crash.
It seems like 'Bitcoin is strong alone', but in reality, it signals liquidity stress—there isn't enough money, so the high-risk assets must be sold first.
What's coming next is even more exciting:
This week, GDP, PCE, and inflation data will be released intensively, and the Federal Reserve meeting is imminent;
The central banks of China and Japan will also announce interest rate decisions, and the volatility isn't over yet.
Short-term watch points:
Can BTC hold the psychological level of 90,000 dollars;
Will ETH stop the decline and stabilize, or else the pressure on altcoins will only increase.
Summary:
Bitcoin being strong alone is not a good thing; liquidity is the lifeblood of this market.
Surviving comes before making money.
