Significant signal! The truth about the ten rounds of interest rate cuts, this time directly determining the fate of the retail investors!

A new round of interest rate cuts by the Federal Reserve is coming soon!

Don't be foolishly shouting that interest rate cuts = good news! From 1984 to 2020, the Federal Reserve has implemented ten rounds of interest rate cuts, resulting in vastly different outcomes. Only by understanding the underlying logic can one grasp the wealth code; otherwise, in the end, one will only be a retail investor who gets cut.

The ten rounds of interest rate cuts can be categorized into three types, corresponding to significantly different market conditions:

Preventive interest rate cuts: The economic fundamentals are stable, only cooling down high interest rates, with the S&P averaging a 13.2% increase over 12 months, fully benefiting risk assets;

Emergency interest rate cuts: Responding to black swan events, experiencing short-term volatility, with the S&P's average increase reaching 17.4% after one year;

Recessionary interest rate cuts: The economy has already fallen into recession, and interest rate cuts cannot reverse the downward trend; the S&P averages a drop of over 14% in three months, and rushing in to buy the dip will surely result in being trapped.

Is this round an opportunity or a pitfall? Just focus on two recession warnings: a single interest rate cut exceeding 50 basis points or an unemployment rate triggering the Samuelson Rule; if either occurs, immediate caution is necessary.

Currently, various data are stable, and this round leans more towards preventive interest rate cuts, which are positive for the cryptocurrency market and other risk assets in the short term; however, once employment worsens and corporate profits decline, interest rate cuts will immediately become a passive firefighting measure, with risks directly elevated. $BTC

This round has clear opportunities to seize, but be sure to closely monitor core indicators and avoid blindly following the crowd into pitfalls. $ETH

I only engage in real trading and don't play virtual; friends who want to avoid pitfalls steadily and profit steadily should not blindly stumble in the cryptocurrency space. Keep up with the rhythm, @刘杰聊币圈 will lead you to make steady money with winning logic!🔥