Powell's words determine life and death? This week's crypto world trend looks at the Fed's attitude.

The recent pullback of Bitcoin has caused quite a few investors to panic, but this wave of fluctuations is not without reason—many mainstream coins had previously reached historical highs, and some funds chose to "take profits off the table," which is a normal profit-taking after gains.

The "key variable" that will truly determine the direction of the crypto world is the public speech by Fed Chairman Powell this Friday. After the waterfall market, both bulls and bears are waiting for this "starting gun," and no one dares to act rashly.

1. Why are Powell's remarks so critical?
Historical experience: speeches are the "policy barometer".
The Jackson Hole annual meeting has never been an occasion for "small talk." In recent years, Powell has repeatedly released direct signals for interest rate hikes or cuts here, and the market trends have almost entirely followed his statements, making him a kind of "indirect commander" in the crypto world.

September policy tone: This speech = "early spoiler"
This speech basically pinpoints the policy direction of the Fed meeting in September. Currently, the mainstream market expectation is that there will be a 25 basis point rate cut in September, and Powell's attitude will directly reinforce or overturn this expectation.

2. Mig's View: The crypto world is a "policy sentiment amplifier," and a single word from Powell determines the rise and fall.
The sensitivity of the crypto world to policies and emotions far exceeds that of traditional markets. When Powell "moves his lips," the market is likely to "shake three times." Two scenarios need to be closely monitored:

If a "dovish signal" is released (hinting/confirming a rate cut in September)
Market confidence is expected to return quickly, and Bitcoin is likely to end its current correction and start pushing towards previous highs again. It’s worth noting that at the end of last year, just the "rising expectations of interest rate cuts" led to a surge in BTC; in the crypto world, the driving force of sentiment is often stronger than the technical aspects.

If it shifts to a "hawkish stance" (implying no interest rate cut in September and even a possible rate hike)
The risk is coming! As analyst Bruni said, Bitcoin will continue to be under pressure, and the next key support level to watch is the 200-day moving average around $100,000. Once it falls below that, it could trigger a new round of declines.

3. Mig reminds: Before major events, "surviving" is more important than "betting on the right direction."
After experiencing multiple market fluctuations, there is a profound lesson that must be remembered: position management > blindly betting on direction. During the pullback period of the crypto market, blindly chasing highs and cutting losses = actively handing over losses!

Instead of trading based on "gut feeling", it is better to follow professional analysis: learn systematic trading thinking and master strategies to deal with black swan events, so you can stabilize your position amidst market fluctuations. Click on the avatar to follow, and shift from "herd behavior" to "rational decision-making"—the change starts now! #美联储终止新型活动监管#