July 9th news, according to Cointelegraph, the US stock market has grown by 68% in the past five years, adding approximately $6 trillion in market capitalization this year, with 58% of Americans holding stocks. Analysts warn that if the stock market experiences a significant correction, the Federal Reserve may break decades of precedent and support the market by purchasing stock ETFs or other means.
Alvin Kan, COO of Bitget Wallet, stated that once the Federal Reserve intervenes (cuts interest rates, expands its balance sheet, or even buys ETFs), the crypto market historically enters a medium to long-term upward trend due to restored risk appetite and capital flowing back into high-beta assets.Tim Sun, Senior Researcher at HashKey, pointed out that the macro pricing of crypto assets is still linked to dollar liquidity, real interest rates, and stock market risk sentiment. Once the market is convinced of a policy bottom, the risk premium for high-volatility assets will compress, benefiting Bitcoin and mainstream crypto assets.[PANews]