Recently, a particularly heartbreaking phenomenon has emerged: good economic data has become the market's bad news. Strong employment reports and positive economic releases surprisingly lead investors to sell off. The reason is simple—everyone fears that the Federal Reserve will continue to raise interest rates or delay rate cuts as a result.

This contradictory market logic has become the norm. Traditional financial markets are thrown into chaos by the Fed's policy signals, but the crypto market instead sees opportunities amid this confusion. While stock investors are cutting their positions due to the Fed's hawkish stance, institutional funds are quietly entering, focusing on this 24/7 operational value trough.

**Why is good economic news considered negative?**

It sounds a bit absurd, but this is the current market reality. The Fed's interest rate decision power is too great, like a sword hanging over everyone's head. History shows that every time the Fed shifts to a hawkish rate hike cycle, Bitcoin is among the first to face selling pressure.

The most obvious example is 2022. That year, the Fed raised interest rates seven times in a row, with a total increase of 425 basis points, directly shocking the crypto market. The total market capitalization dropped from $2.9 trillion to just over $800 billion.

Worse still, Bitcoin's correlation with traditional risk assets is increasing. Data from 2025 shows that Bitcoin's correlation with the Nasdaq 100 index has reached 46%. This means macroeconomic fluctuations will directly impact the performance of the crypto market.

Against this backdrop, smart money has already begun reconsidering its allocation strategies. When traditional markets are troubled by policy uncertainty, the opportunity window in crypto is opening.