Tonight at 21:30, the global markets will face the "Judgment Day"!

Last night, Powell announced a rate cut and balance sheet expansion, but the market surged then pulled back, with Bitcoin and Ethereum plunging simultaneously. This indicates that optimistic sentiment has been overextended, and positive news turned into negative. Powell also stated that the Federal Reserve will return to a data-dependent approach. The key data to be released tonight is the US initial unemployment claims for the week ending December 7th, which is considered the market's "Judgment Day."
The current employment market is the core of the situation, and initial unemployment claims are the "thermometer" measuring its health. The expected value of 220,000 is a critical psychological threshold. If the released figure is less than 220,000, it indicates a resilient labor market, raising the bar for Fed rate cuts, potentially triggering a sell-off and putting pressure on risk assets; if greater than 220,000, it confirms a cooling employment market, and risk assets may rally.
However, an even bigger cloud—possible rate hikes by the Bank of Japan—are approaching, tightening global liquidity. In the "data-dependent" guessing game, any data below expectations could be the straw that breaks the camel's back. Tonight, don’t focus on just one number, as it will set the tone for at least a month of trading. Buckle up; this will be a battlefield of bulls and bears, with a rebound possibly being the last chance for short covering or for longs to escape the top!$SOL $BNB $XRP