Why did the market plummet? Bitcoin plunged $1,500 in a few hours, while altcoins fell 5%-10%. Here are the reasons: 1️⃣ Nvidia's plunge ● China accused Nvidia of violating antitrust laws. ● Nvidia's pre-market plunge → Nasdaq futures plummeted. ● Cryptocurrencies followed the Nasdaq's decline. 2️⃣ Leverage influx ● Bitcoin open interest hit a new high, while the price remains 7% below its all-time high. ● Excessive leverage → Whales have sold off. ● Bitcoin's market capitalization lost $2 billion today = a healthy reset. 3️⃣ Market de-risking ● The Federal Open Market Committee (FOMC) will announce its decision in two days. A 25 basis point rate cut is almost certain. ● But Powell's hawkish tone and the consumer price index approaching 3% have spooked the market. ● De-risking ahead of positive events is common. My Thoughts ● Nothing moves in a straight line. ● Big money is looking for better entry opportunities before the fourth quarter. ● The best strategy? Hold and wait.