U.S. Treasury Secretary Bessent recently clarified the $2,000 dividend rumor, confirming that the plan is essentially a tax cut rather than a direct cash handout or liquidity injection, dashing market hopes for fiscal stimulus. On the same day, Fed official Logan delivered hawkish remarks, explicitly opposing a rate cut at the December meeting, effectively eliminating expectations for the year's final rate reduction. These two events delivered a one-two punch to the crypto market, causing Bitcoin and Ethereum prices to plunge sharply and market panic to escalate rapidly, with selling pressure intensifying.
Investors' optimism built on earlier fiscal stimulus and rate cut expectations reversed sharply, sending confidence plummeting. Currently, AI-related narratives stand as the last major pillar of market support, but Nvidia's upcoming earnings report could introduce fresh uncertainty. If the report disappoints, it may trigger broader sell-offs. Overall, bulls are left with few catalysts in the current environment, facing high uncertainty in the short term. The market widely believes that bulls have run out of cards to play.