🚨 Crypto beginners, this is a must-read! What exactly is TradFi? Understand traditional finance to see why BTC and ETH fluctuate along with U.S. stocks! 🏦₿🔥
🔥 Have you noticed? Even though you're trading cryptocurrency, when U.S. stocks fall, BTC and ETH may fall too?
One key reason is TradFi (Traditional Finance)!
🏦 ① What is TradFi?
Traditional finance is a financial system made up of banks, securities firms, exchanges, and financial institutions.
💵 Banks: deposits and loans
📈 Stock markets: stocks and ETFs
📜 Bonds: government and corporate financing
🥇 Commodities: gold, silver, and oil
🔗 ② How is TradFi different from DeFi?
🏦 TradFi: relies on financial institutions and regulatory systems
⛓️ DeFi: provides financial services through blockchain and smart contracts
⚠️ DeFi does not mean there is no centralization risk!
₿ ③ How does TradFi affect BTC?
🟢 ETFs and institutional funds may increase demand for BTC
🔴 Panic in U.S. stocks and a stronger dollar may dampen risk appetite
📊 Federal Reserve interest rate policy is also an important factor!
💎 ④ How does TradFi affect ETH?
🟢 ETH ETFs connect to traditional capital markets
🟢 Stablecoins and asset tokenization expand its use cases
🔴 ETH may also come under pressure when the market deleverages
💡 ⑤ Four key indicators beginners should know
① NASDAQ: risk sentiment in tech stocks
② U.S. Treasury yields: market expectations for interest rates
③ DXY U.S. Dollar Index: the strength of the U.S. dollar
④ FOMC: the Federal Reserve's monetary policy
💡 My take
Although cryptocurrencies trade 24 hours a day, they are already closely connected to global financial markets.
Learning about TradFi isn't about predicting every price move—it's about understanding why money moves!
🎯 If you only look at candlestick charts, you see the price. Understand traditional finance, and you can begin to see the forces behind it!
$BTC
$ETH
#新人宝典：从零了解tradfi
🔥 Have you noticed? Even though you're trading cryptocurrency, when U.S. stocks fall, BTC and ETH may fall too?
One key reason is TradFi (Traditional Finance)!
🏦 ① What is TradFi?
Traditional finance is a financial system made up of banks, securities firms, exchanges, and financial institutions.
💵 Banks: deposits and loans
📈 Stock markets: stocks and ETFs
📜 Bonds: government and corporate financing
🥇 Commodities: gold, silver, and oil
🔗 ② How is TradFi different from DeFi?
🏦 TradFi: relies on financial institutions and regulatory systems
⛓️ DeFi: provides financial services through blockchain and smart contracts
⚠️ DeFi does not mean there is no centralization risk!
₿ ③ How does TradFi affect BTC?
🟢 ETFs and institutional funds may increase demand for BTC
🔴 Panic in U.S. stocks and a stronger dollar may dampen risk appetite
📊 Federal Reserve interest rate policy is also an important factor!
💎 ④ How does TradFi affect ETH?
🟢 ETH ETFs connect to traditional capital markets
🟢 Stablecoins and asset tokenization expand its use cases
🔴 ETH may also come under pressure when the market deleverages
💡 ⑤ Four key indicators beginners should know
① NASDAQ: risk sentiment in tech stocks
② U.S. Treasury yields: market expectations for interest rates
③ DXY U.S. Dollar Index: the strength of the U.S. dollar
④ FOMC: the Federal Reserve's monetary policy
💡 My take
Although cryptocurrencies trade 24 hours a day, they are already closely connected to global financial markets.
Learning about TradFi isn't about predicting every price move—it's about understanding why money moves!
🎯 If you only look at candlestick charts, you see the price. Understand traditional finance, and you can begin to see the forces behind it!
$BTC
$ETH
#新人宝典：从零了解tradfi
