In simple terms, it's four words: All are in a fall!

Today, when I opened my eyes, the crypto world was a sea of green (while it was red overseas). Bitcoin has plummeted from nearly $90,000, almost falling below $86,000 at its lowest. Ethereum couldn't hold up either, dropping below $2,900. Others like SOL and Dogecoin have fallen even harder, generally dropping by 7% to 8%.

This fall has left many people stunned. According to data, in the last 24 hours, more than 170,000 people globally have "liquidated," meaning those who borrowed money to trade cryptocurrencies were directly forced to close their positions, losing everything, resulting in a total evaporation of over $500 million. The severity of this is nothing short of a disaster day for the "bulls" (those who are bullish).

Why did it suddenly fall so badly?

1. The biggest pot: The "heart disease" of the Federal Reserve. The market is now most afraid of the Federal Reserve, and any slight movement scares everyone to death. Today there were a few rumors stirring up trouble: one was the baseless rumor that "Federal Reserve Chairman Powell is going to resign," which was quickly said to be false, but it still shocked everyone. Second, the interest rate meeting is about to be held in December, and everyone feels uncertain. Adding to this, Trump has jumped in again saying he "has already chosen the next Federal Reserve Chairman," all these actions have left people anxious, and everyone prefers to run away first.

2. Internal reasons: I am also out of strength. The previous surge was too strong, and now I feel a bit "kidney deficiency." The inflow of large U.S. funds buying Bitcoin ETFs has noticeably slowed down recently, with no new "fresh water" coming in. Moreover, since the high point in October, there has been continuous selling pressure, and today’s fall has washed out many highly leveraged "gamblers," creating a chain reaction of declines.

3. Regulatory Voices: We have been reprimanded again. Over here, several important departments jointly issued a statement last Friday, emphasizing that activities related to virtual currencies are considered illegal financial activities and must continue to be cracked down on. Although this is just the same old tune, during times when the market is fragile, any negative news will be magnified, affecting overall sentiment.

In the coming days, everyone's eyes will be focused on these few things:

This Friday (December 5th): The U.S. will release an inflation data called "Core PCE", which is the inflation indicator the Federal Reserve values the most. If the number is high, the fall will be worse; if the number is low, there might be a sigh of relief.

Next week (December 9-10): The Federal Reserve will hold a conference to decide whether to raise interest rates. This is a critical moment that will determine the short-term fate.

Technical aspect: Now everyone's next psychological defense line is whether Bitcoin can hold around 80,000 USD.

Today is a wave of panic selling triggered by macro concerns, the need for adjustment after a significant rise, and some regulatory whispers, all working together.