The US stock market will close early before the year-end holiday. What does this mean? Simply put, the funds that are usually active in the stock market will seek an exit. The 24/7 nature of the cryptocurrency market happens to be a landing spot for these funds.

From a timing perspective, with the US stock market opening at 22:30 and only 3.5 hours of trading remaining, this will lead to abnormally tight capital flows. When the stock market closes and speculative funds flood into the crypto market, the volatility of mainstream assets like BTC often amplifies.

There is a very practical issue here: if you are not a long-term investor, leveraging in this high-volatility environment significantly increases your risk. Stories of margin calls and liquidations happen every year around this time.

Our strategy is to have laid out long-term positions a week in advance, aiming to stay stable amid the upcoming market turbulence. Instead of frequently trading during volatility, it’s better to position early. Short-term high volatility might be an opportunity for long-term holders, but only if you survive long enough to see that day.