On the eve of the Fed's interest rate cut, the market seems to always stage a "last fall" scenario. Behind this phenomenon lies the complex game between market participants.

First of all, we often see some pessimistic sentiments spreading in the market. Some people will loudly proclaim negative expectations such as economic recession, corporate bankruptcies, and waves of unemployment, even sensationalizing the "doomsday scenario". At the same time, some media outlets will follow suit in reporting recession theories, further exacerbating market panic.

However, if we look back at the major market adjustments in 2008 and 2020, it is not difficult to find that these are often just short-term emotional fluctuations. In this atmosphere, some investors may be eager to cut losses and retreat out of panic, but this precisely gives others the opportunity to buy on dips.

The current market situation is similar to the past—on the surface, it seems chaotic, but in reality, it may be the market making final preparations for a future rise. This phenomenon reminds us to remain rational in our investment decisions and not be swayed by short-term emotions.

It is worth noting that the cryptocurrency market, including Bitcoin (BTC) and Ethereum (ETH), often experiences similar emotional fluctuations. As an emerging asset class, their price movements may be more susceptible to market sentiment.

Overall, this cyclical performance of the market reminds us that investment decisions should be based on an in-depth analysis of the fundamentals, rather than being swayed by short-term market sentiment. It is crucial to remain calm and rational when facing market fluctuations.