BiyaPay Analyst: Fed's 'Hawkish' Pivot Heats Up, Risk Appetite Plunges Triggering Crypto Flash Crash

BlockBeats News, January 19, Monday Asian morning, the crypto market saw a sharp collective pullback. Bitcoin quickly fell back after hitting a high of $97,000 last week, dropping below $92,000 at one point; Ethereum lost the $3,200 level, and Solana fell below $140. Coinglass data shows that in the past 4 hours, approximately $593 million has been liquidated across the network, with long positions accounting for close to ninety percent, putting significant pressure on market sentiment.

Analysis believes that behind this "Black Monday," once again, Trump-related uncertainty has become a triggering factor. On the one hand, the expectation of the new Fed chair nominee shifting from "dovish" to "hawkish" has intensified; on the other hand, the Greenland dispute and trade friction between Europe and the US have reignited, coupled with the setback of the crypto-friendly CLARITY Act in the Senate, causing a rapid cooling of short-term risk appetite.

BiyaPay analysts pointed out that the current situation is more like an emotional pullback triggered by profit-taking at high levels rather than a trend reversal. In a high-volatility environment, investors can use BiyaPay to flexibly participate in US stocks, Hong Kong stocks, options, and cryptocurrency trading using USDT, dynamically adjusting positions between different assets to mitigate the impact of policy and macroeconomic uncertainty.