Latest news reports that the Bank of Japan Governor stated that as long as the economic situation meets expectations, interest rates will continue to rise. Behind the seemingly cautious stance, there is actually a clear hawkish signal—indicating that the global liquidity tightening trend is far from over, and a new round of downward pressure is brewing.

For investors holding cryptocurrencies like BTC, BNB, ZEC, this wave of rate hikes should not be ignored. In the short term, there may be a rebound window where negative factors are fully priced in, but in the long run, once interest rates rise, the cost of capital will inevitably increase. As a highly volatile asset, cryptocurrencies are under pressure in a tightening liquidity environment, and bull markets are never driven solely by rate hikes.

So how should retail investors respond? Here are a few key points to remember:

First, don’t get carried away by rebounds. Before a true trend reversal, it’s essential to strictly control position sizes; it’s better to miss out on a rally than to greedily chase highs. Second, for those who have already built positions, set stop-loss orders promptly, especially for futures traders. Sudden drops and increased volatility during the night may become normal, so protecting your principal is the most important. Third, if you choose to dollar-cost average or build positions gradually, slow down the pace and give the market enough time to digest these negative factors.

Always remember one thing: markets are unpredictable, but your bullets must be kept tight. Don’t let short-term fluctuations disturb your mindset; maintaining stability is key to waiting for the right opportunity.

In this interest rate cycle, what is your strategy? Share your thoughts in the comments.