This Friday, the U.S. stock market continues to surge upward. The Nasdaq and the S&P are both rising, while gold is still under pressure around 4700, continuing to trade in a tight range. Bitcoin and Ethereum are down a little—this all looks quite strange. Ever since the “reliable” guy pushed oil prices up and replaced Powell with Kevin Waugh to attend the Federal Reserve, the whole market has already seen a major turn. It can be said that we are all in a critical period of this financial transformation—the gears of the cycle switch have already started turning, even if many people don’t realize it yet.

At present, markets are diverging sharply, and that’s a good thing. If you understand it, you and your friends who know would already know this is a form of risk warning. But many people have a misconception: once they hear that macro liquidity is starting to tighten, they easily start imagining that the market will crash immediately. In reality, that’s not the case. Risk clearing is a process that’s turbulent and full of confusion. Liquidity contraction doesn’t mean the market will instantly move in a clear direction. Smart money has already rotated its funds long ago. At this time, we shouldn’t go against the cycle, and don’t think about going long on the crypto sector.

Finally, a reminder: it’s best to stay in cash to hedge risk—don’t rush to make impulsive long or short bets. The crypto sector is about to enter a clearing period, and opportunities to arrange for medium- and long-term spot positions are getting closer.

$BTC