PEDROLA-019

WHY IS THE MARKET DUMPING? Bitcoin just dropped below $66,000 while alts are bleeding. 1. No ceasefire - US is still attacking Iran - Iran is still stopping ships - Uncertainty is only increasing And when that happens, risk assets suffer. 2. Bond market crisis - Japan bond yields are hitting new highs - US long-term bond yields are soaring - MOVE Index is going higher This is because of rising inflation expectations due to energy crisis, and markets hate this. 3. Hawkish Fed - The market now expects no rate cut in 2026 - Rate hike odds in 2026 have surged to 48.6% - This means market is now expecting more hawkish Fed A hawkish Fed is bad for risk-on assets, as it drains liquidity from the market. My thoughts - I'm paying attention to Trump's language here - Yesterday he said that stock market hasn't come down a lot. - This means he isn't worried much about the stock market. - Once his tone changes to undervalued market or BEST TIME TO BUY, a reversal could happen. #BitcoinPrices #TrumpSeeksQuickEndToIranWar