Market Analysis:

On the early morning of February 5th, the crypto market was dragged into the abyss by the US stock market! BTC and ETH continued to crash, plunging over 6%, hitting a 9-month low, completely wiping out all gains since Trump's election!

The core truth behind the plunge:

1. US tech stocks collapsed, with AMD dropping 17% dragging down the Nasdaq, triggering a global risk asset sell-off;

2. The Federal Reserve's probability of a rate cut in March is only 9.4%, hawkish pressures dominate, and liquidity continues to tighten;

3. A large number of retail investors' long positions were liquidated for 1.96 billion, high leverage funds were wiped out, amplifying the decline and triggering a death spiral, intensifying market panic;

4. Liquidity has completely dried up, institutions continue to exit with ETF outflows, institutional buying has disappeared, and retail investors are unable to bear the selling pressure.

Trading Advice: Short-term longs and shorts should be cautious, quick in and out

Special Reminder: During the phase of long and short kills, any operation is like playing with fire! Hold cash to survive, never bottom fish!