QCP Asia: The sharp drop in US stocks dragged down market sentiment, BTC briefly fell below $80K but may see a rebound signal

Odaily News QCP Asia's market analysis on March 11 showed that the optimism in the U.S. stock market after Trump's victory quickly reversed, with the S&P 500 and Nasdaq falling 2.7% and 3.8% respectively. The "Magnificent 7" technology stocks lost $830 billion in a single day, setting a record for the largest single-day drop in history.
The bearish sentiment in the market has returned across the board, with the trading volume of U.S. stock put options rising to the highest level since 2020. In an interview with Fox, Trump showed an indifferent attitude towards the economic recession, saying that the economic downturn might be a necessary process to repair the United States, which further exacerbated market panic.
In the crypto market, BTC briefly fell below $80,000, and the market rushed to buy put options for safe haven. However, demand for long-term call options emerged during today's Asian trading session, indicating that some investors may be preparing for a rebound from support near $75,000.
Despite the pessimistic market sentiment, not all signals point to the downside. The 10-year Treasury yield fell by about 60 basis points, and the dollar weakened, which is historically favorable for dollar-denominated risk assets (including U.S. stocks and cryptocurrencies). In addition, the decline in U.S. Treasury yields also reduces the burden of government borrowing costs, which is crucial to Trump's expansionary fiscal policy (including potential tax cuts).