Good morning everyone~

Last night's market was quite interesting, with the U.S. stock market and the crypto market diverging again. Under normal circumstances, a sharp drop in U.S. tech stocks would have some impact on BTC, but last night Bitcoin rebounded back above $61k, indicating that some capital is beginning to flow back into the crypto market.

The recent decline in U.S. stocks was mainly due to issues in the AI sector. News emerged that Meta plans to build its own cloud business and is considering leasing out its excess AI computing power. As soon as this news came out, the market immediately began to worry whether the AI investments of large tech companies have reached a temporary peak.

Over the past year, the AI industry chain has been rising because everyone believed these tech giants would keep pouring money into buying chips, servers, and expanding data centers. Now that concerns about a slowdown in procurement have emerged, the expectations for the entire industry chain naturally need to be readjusted.

As a result, chip stocks took a heavy hit last night, with Micron and SanDisk both falling over 10%. Semiconductor-related stocks like Applied Materials and ASML also saw broad declines. This pessimistic sentiment then spread to Asian markets, with South Korea's stock market opening sharply lower this morning, and SK Hynix and Samsung Electronics also experiencing significant pullbacks.

On the macro front, Fed Chair Waller's speech last night was still hawkish. Although he acknowledged that inflationary pressures have eased, he still adhered to the 2% inflation target without signaling any interest rate cuts. He also stated that future policy would depend on data over the next few weeks. This means that market expectations for a rate cut are unlikely to heat up significantly in the short term.

Additionally, the U.S. and Iran continued indirect talks in Doha yesterday, focusing on issues such as asset freezes and shipping through the Strait of Hormuz. Trump said the negotiations were making progress, but Iran's stance remains relatively tough. For now, there is still a long way to go before a real agreement is reached, and continued attention is needed.

Overall, I believe the market is still in a consolidation phase without a clear direction. Although BTC has performed stronger relative to U.S. stocks, overall capital remains cautious. The key factor determining short-term direction is the U.S. non-farm payroll data to be released tonight. If the data exceeds expectations, market volatility may further amplify.

In terms of operations, I maintain yesterday's view: don't rush to chase gains or blindly turn bearish. Without a clear direction, intraday trading with quick entries and exits will be more prudent.

Key levels to watch today:

BTC: resistance around 62,000;

ETH: resistance around 1,680;

SOL: resistance around 81.
$BTC ‌$ETH ‌$SOL ‌