Recently, the White House released a highly anticipated Digital Money report. Although this report did not cause much of a stir, it is still worth our in-depth discussion. The report mainly focuses on summary content and macro direction, and its direct impact on the market may be limited.

The report mentioned several key points: utilizing blockchain technology, moderately relaxing regulations, embracing digital assets, supporting the development of stablecoins, and protecting the legitimacy of virtual assets. These directions indicate that the government is working to make the digital asset sector more standardized and legalized. It is worth noting that the report did not mention any specific cryptocurrencies.

At the same time, the latest remarks from Federal Reserve Chairman Powell appear to be relatively hawkish. Looking back, his last hawkish comments led to a significant drop in Bitcoin prices by about 5000 points. Powell hinted that there may not be a rate cut in July, and the possibility of a rate cut in September is also low.

This attitude is mainly based on the current economic situation: GDP is on an upward trend, the job market is stable, and inflation has a slight rebound. In such an economic environment, lowering interest rates is indeed not very appropriate.

Considering the above factors, Bitcoin may continue its downward trend in the short term. For investors, it might be a wise choice to take profits at appropriate times during a rebound.

However, we should also see that the government's attitude towards blockchain and digital assets is gradually changing, which is beneficial for the development of the entire industry in the long run. While investors are following short-term market fluctuations, they should not ignore this important trend.