BTC and ETH both plummeted! The truth behind the decline, just these four points!

Brothers, pay attention. This market-wide correction is not caused by a single piece of news, but by four bearish forces acting together!

1️⃣ Ongoing geopolitical tensions
Sudden collapse of US-Iran negotiations, the Strait of Hormuz blockade still ongoing, oil prices soaring, and the entire risk market being suppressed, so the crypto market is naturally affected.

2️⃣ Persistent high-interest rate pressure
The Federal Reserve has been delaying rate cuts, with expectations for cuts repeatedly postponed. Plus, Japan raising interest rates to 1%, causing global market liquidity to tighten directly, making it hard for the market to rally.

3️⃣ Overcrowded long leverage positions
Ethereum has fallen from 3000 to 2350. Once it breaks below the 2210 level, it will trigger a liquidation of over 600 million USD, and chain liquidations will only hit the market harder.

4️⃣ Noticeable market capital differentiation
Bitcoin spot ETFs are still experiencing net inflows, but Ethereum is falling behind. The ETH/BTC exchange rate has been declining, and capital favors Bitcoin even more.

The market has now entered risk-averse mode. Next, focus on the Middle East situation and the pace of interest rate hikes.

Don’t blindly try to buy the dip or guess the bottom; just stay patient, observe carefully, and approach the market cautiously!