The latest statement from the Bank of Japan Governor has triggered market fluctuations. As long as economic performance meets expectations, they will continue to raise interest rates. Behind the seemingly moderate statement, hawkish signals are already very clear—global liquidity contraction is far from over.

What does this mean for the crypto world? Simply put, trouble is still ahead. In the short term, after the rate hike is implemented, there may be a technical rebound, attracting many to enter. But looking further ahead, the continuous rise in interest rates means increasing funding costs. As a highly volatile asset class, cryptocurrencies will face greater pressure in such an environment. The tighter the liquidity, the more cautious investors become, and risk appetite will inevitably decline.

How should retail investors respond? Here are some practical suggestions:

**Maintain restraint in positions.** When a rebound occurs, it’s easy to get carried away. But the true trend reversal has not yet appeared, so positions must be kept light. Greed will only increase the risk of being caught in a downturn.

**Stop-loss is the bottom line.** For those holding positions, stop-loss levels must be set in advance. Especially for those trading leveraged contracts, sudden market moves can wipe out positions instantly, so risk awareness is essential.

**Extend your investment cycle.** If you plan to invest regularly or build positions gradually, slow down the pace. The market needs time to digest these policy changes; rushing is not advisable.

Markets will always have fluctuations, but those who survive until the end rely on stability rather than speed. Follow the rhythm, proceed step by step—this is the key to long-term profitability.