The State of the Market

Total Crypto Market Cap: down 8.7% this week to $1.98T
Total AI Sector Market Cap: down 7.4% this week to $19.9B

The market continues to test our resolve, with each week seemingly bringing new lows. Just when you think it can't get worse, it does.

Most notably, a weaker-than-expected U.S. jobs report has once again fueled concerns that the Federal Reserve might be lagging in its response to economic pressures. The anticipated 25 basis point rate cut is now viewed as insufficient to address the likelihood of a recession in the US.

Adding to the uncertainty, the Bank of Japan has continued to point at potential rate hikes, reigniting fears of a Yen carry trade unwind which was the reason for last month’s rapid sell off.

Additionally, Nvidia experienced a historically bad week, which reverberated through the crypto AI sector, dragging down the sector's total market cap.

For most investors, this is not the time for aggressive trading. Instead, focus on survival. Avoid leverage and resist the urge to time these volatile market swings.

The only silver lining is, for the long term believers, now could present an opportunity to accumulate assets on sale.