The latest statement from Fed Chairman Powell has triggered a severe turbulence in the Crypto Assets market. His hawkish remarks not only shattered market expectations for a possible rate cut in September, but also led to a big dump of 4.2% in Bitcoin within just 30 minutes. At the same time, the stablecoin market also experienced an outflow of approximately $570 million, reflecting the panic sentiment among investors.

Behind this series of reactions lies a more profound market signal. Although the Fed chose to keep interest rates unchanged, this is likely to provide cover for a sustained high-interest rate policy. On-chain data reveals the brutal reality of the market: miners sold 32,000 Bitcoins in a single day, large holders (commonly known as "whales") transferred 21,000 Bitcoins to exchanges, and the net outflow of Bitcoins from the Binance platform reached a new high in a year.

What is even more concerning is that the proportion of commercial paper behind the Tether stablecoin has risen to 37%, which means that in the current high-interest rate environment, the entire stablecoin system is facing severe tests.

However, the panic sentiment in the market also contains potential opportunities. The funding rate for perpetual contracts has turned negative, which may indicate that the short-dominated situation is about to end. At the same time, the holdings of long-term holders remain at historical highs, indicating that the confidence of core investors has not been shaken. In addition, if the cryptocurrency-related bill proposed by the Trump team can be successfully passed in September, it may become a key factor in reversing the market trend.

Is the current market situation a precursor to a crash, or is it the last darkness before dawn? The answer to this question will gradually become clear in the future market trends. Investors need to closely monitor the changes in on-chain data to seize the initiative in this complex market game.