1️⃣ Federal Reserve policy: Interest rate decisions will set the tone for risk assets. 2️⃣ Rate outlook: Expectations of cuts or hikes can fuel volatility. 3️⃣ Liquidity: Short-term cash flows into markets matter more than ever. 4️⃣ Politics: Election cycles and policy shifts could impact investor sentiment. 5️⃣ Labor market: Strong or weak jobs data influences confidence and spending.
$BTC surged past $90,000 right after Christmas, but quickly corrected back to around $86,800. This sharp swing has pushed market sentiment into Extreme Fear, showing how fragile investor confidence remains at the end of the year.
The overall crypto market cap slipped by about 0.36%, reflecting cautious trading as investors weigh holiday liquidity and potential year-end profit-taking.
Smart risk management and disciplined strategies matter more than chasing short-term price moves.