Silver $XAG + $BTC Bitcoin's Epic Crash Review:
A liquidity crunch triggered by hawkish expectations from the Federal Reserve led to a "35% drop in silver + Bitcoin falling below 80,000, a review of the epic sell-off in January 2026. The core reason: Trump's nomination of hawkish Federal Reserve Chairman Waller → dollar surges → high leverage crunch. Precious metals and crypto markets collapse together, with over 2.2 billion dollars in liquidations across the network. Short-term volatility remains intense, long-term logic unchanged but leverage risks must be heeded.
Core Catalyst: Sudden Changes in Federal Reserve Personnel
On January 30, Trump nominated former Federal Reserve Governor Kevin Waller as the next chairman. Waller is known for his hawkish stance, and the market anticipates he may tighten monetary policy and slow the pace of interest rate cuts. This nomination completely shattered the market's previous fantasy of "dovish easing," resulting in a sharp rise in the dollar index, with dollar-denominated precious metals and cryptocurrencies being the first to feel the impact.
"Long-term Perspective: Industrial demand for silver (photovoltaics + new energy) and the Bitcoin halving cycle logic remain, but short-term requires waiting for signs of emotional stabilization. Recommendations: ① Control positions, avoid chasing highs and selling lows; ② Pay attention to subsequent policy statements from the Federal Reserve; ③ Be wary of weekend liquidity risks.
