#数字资产市场观察 Did the start of February deliver a heavy blow?

In simple terms: there are no buyers entering the market, and sellers are lined up in long queues.

This round of decline is actually the simultaneous eruption of several signals:

💸 The Federal Reserve's stance has turned hawkish.
The expectation of interest rate cuts has completely cooled down, and the chain reaction of the leadership change is still fermenting. Traditional assets have suddenly become attractive, and funds are starting to flow towards cash and bonds. Bitcoin? No one is willing to be the bag holder.

📊 The order book is terrifyingly thin.
The higher the price, the fewer the orders. When large funds or institutions sell off, the price drops sharply without any support.

🐋 Large holders retreat + retail investors panic selling
Some whales are cashing out and leaving at high positions, and short-term players see their accounts turning green and immediately follow the trend to cut losses. Panic spreads like a virus, accelerating the decline.

🌍 Global risk aversion sentiment rises
It's not just the cryptocurrency market that is declining; the stock market and tech sector are also pulling back. Everyone is looking for safe assets, and cryptocurrencies are naturally being abandoned.

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🔍 The essence is: "Deteriorating expectations → Liquidity depletion → Whales fleeing → Retail panic" death loop.
It's not that Bitcoin is having problems; it's the market cooling down emotions.

Don't listen to those who are shouting that Bitcoin will drop to 50,000 or 60,000. Unless there is a black swan event, even if a bear market comes, it will still be a rhythm of decline - rebound - and then decline again. Can such a deep plunge happen all at once? How can the leader lead the team?

As emotions are repaired and funds flow back, you will find:
BTC is most frightening when it falls, and it rises the most aggressively.

This round is estimated to have a pullback of about 5%, the impact of the Federal Reserve's personnel change has not been fully digested, and Trump is still contemplating the issue of interest rate cuts... Will the market first experience a false drop before rebounding? It's hard to say.

Don't forget about ETH either. There is a community upgrade on December 4th, and such positive news can easily trigger a short-term sentiment rebound.

This is the psychological tactic that the dealers play.

Trading is about playing probabilities; only take high win rate opportunities!