Memes

The market has entered a phase of utter despair - on-chain ecosystems have collapsed, altcoins in secondary markets have crashed, and the next phase will likely see core assets affected. If U.S. stocks continue to decline, Bitcoin will eventually follow suit.

The market is a slave to expectations. Just like how coins surge when there's anticipation of a Binance listing, but immediately after the actual listing occurs (when the "good news" materializes), early traders who bought in anticipation start dumping their holdings aggressively. This happens because there's no new positive expectation left to sustain the momentum.

Nevertheless, I remain convinced that the "true bull market" hasn't begun yet. Ultimately, both the crypto space and U.S. stocks are essentially liquidity-driven games, and the ultimate "faucet of liquidity" from the top hasn't been turned on yet.

Over the past two years, the entire U.S. stock market has been front-running the "liquidity injection" narrative. Now that we're approaching the actual policy easing, the market has shifted to "pricing in recession" mode. When the market starts anticipating negative scenarios, these expectations will inevitably suppress liquidity and drag down asset prices. Often, this becomes a self-fulfilling prophecy.