Public trading strategy
Crypto crashes to yearly lows as rate hike fears spike — short Ethereum
Thesis
Crypto markets are highly sensitive to interest rate changes, and traders are now fully pricing in a rate hike this year due to a surprisingly strong jobs report. Higher rates make holding risky assets like Ethereum less attractive. With Ethereum already crashing to a 13-month low, this downward momentum is likely to continue as investors move their money to safer places.
Strategy approach
Create a trend-following short strategy for ETHUSDT on the 4-hour (H4) timeframe. Enter a short position when the 20-period EMA crosses below the 50-period EMA and the RSI(14) is below 40. Exit the trade if RSI goes above 60. Use a 3% stop loss.