Adding 300 billion! Top Wall Street giants are about to enter the crypto space. You must know this important news!
The Solana ETF has encountered another turning point. What is the situation this time?
Trump's approval rating has started to plummet. What exactly happened? Let’s follow Shu Qin and find out~
First of all, Solana made big news this week, exciting many retail investors. According to Bloomberg analyst James, Canary Capital recently submitted an application for a Solana ETF to the SEC, generating significant interest.
Unfortunately, Canary Capital is relatively small and not well-known, so its impact is still limited. However, this indirectly indicates that institutions are very optimistic about Solana. After all, Bitcoin and Ethereum ETFs have already been approved, so there's no need to pursue those further. Thus, Solana has become the next target for major institutions. I believe the real turning point for the Solana ETF will be once Trump is back in power.
Meanwhile, the whales have long been unable to hold back and have started increasing their positions secretly.
Every day, thousands to tens of thousands of Solana are withdrawn from Binance to his cold wallet. Recently, he has increased his holdings by over 200,000 coins, which is quite shocking. The smart money indeed has reasons to increase their positions, as his on-chain transaction volume is extremely active, with a seven-day trading volume reaching $14 billion, ranking first across all chains, and there are many followers, especially from Europe and America, where firms like Panterra and VanEck are very active.
However, the short-term resistance for Solana is at 183, which we analyzed a few days ago in the program. I advised the community to sell at 180, and now that it has corrected above 160, we can buy back in.
Back to the on-chain data, aside from the transaction volume I mentioned earlier, there's another important metric called TVL, which measures the amount of funds on a blockchain.
As everyone can see, although Solana has climbed to second place, its total on-chain capital is still far behind Ethereum, only about one-tenth of it. Its only advantage is its larger trading volume.
In terms of market capitalization, Ethereum is at 300 billion, while Solana is at 100 billion. This is subjective; anyway, I hold both.
Recently, many in the crypto space have been worried about the correction, but did you know? A new influx of $42 billion in funds is about to enter the market. Take a look at the chart.
Wall Street giant MicroStrategy recently announced a $42 billion financing plan alongside its earnings report, intending to use this money to buy more Bitcoin.
Oh my, did I read that wrong? $42 billion! The previous $4 billion sell pressure from Germany or Mentougou had already created a pit in the candlestick chart. Now, the buying pressure is ten times larger at $42 billion. Shu Qin can hardly imagine the huge stimulus this will cause. It can be said that the bull market in the crypto space is about to ignite, just waiting for a favorable wind.
Returning to Bitcoin's market, the recent correction was mainly due to the US stock market's influence. The third-quarter earnings reports from major US tech firms fell short of expectations, leading to significant declines in weighted stocks like Microsoft, Meta, and Nvidia.
Additionally, there's a more important reason: the Fed's future interest rate cuts may encounter problems, as the number of first-time unemployment claims reported on Thursday night was significantly lower than expected, showing no signs of rising unemployment. Hence, there are concerns that the magnitude of the Fed's rate cuts might decrease or even that there might be no cuts at all.
The interest rate market has also reacted; by January next year, it was supposed to be reduced to 4.0%, but now the probability of it being lowered to 4.25% is slightly higher at 44.8%. This shows that Wall Street is also uncertain.
But it gets more outrageous; Friday's non-farm payrolls turned out to be just 12,000, far below the market expectation of 100,000.
Oh my, did I read that wrong? On one hand, we had double employment, and then suddenly we got a 10% employment figure. Shu Qin really doesn't want to say much about this; you can judge for yourself whether this data is optimized.
However, one thing we can be sure of is that the only reason for the Federal Reserve's interest rate hikes—the inflation problem—has been perfectly resolved, with the latest PCE dropping to 2.1%, which is back to normal levels. Therefore, the Fed has no reason to maintain high-pressure interest rates.
After the election, when the data normalizes, the expectations for interest rate cuts will naturally rise, especially if Trump wins again. The increase could be substantial!
The current market is quite similar to my recent analysis. I mentioned that Bitcoin must drop a bit to clear out high leverage before we can consider it a proper correction. When I posted this, it was still at 72,500, and it has since fallen to 68,000 over the past couple of days, which is even more than I expected.
Fortunately, we advised everyone to take profits on Doge, Pepe, and People earlier. As for ETH, I'm still holding onto my spot positions because there’s no liquidation risk with spot trading.
Moreover, we bought Solana at 160 and sold at 180 at the peak. Shu Qin provides numerous real-time operations every day, not only helping you buy at the bottom but also enabling everyone to escape at the peak promptly. Interested parties can come and check it out.
Additionally, Musk might be in trouble. The Pennsylvania prosecutor has already sued Musk's PAC for his fundraising activities because Musk is now offering $1 million daily to any voter willing to sign a petition. Although he hasn't explicitly stated it's for voting for Trump, you know what I mean.
I think this situation could be big or small. As long as Trump is in power, none of these issues would be problematic. In fact, Musk might even transform into the Minister of Efficiency under his government. But if they lose... well, old Musk can only hope for the best.
However, there's one point everyone needs to note: Trump's betting rate has dropped significantly, falling over 10% from its peak, and his advantage is shrinking. But in some pro-Harris media outlets, like CNN, the data shows Harris at 60% and Trump at 40%, indicating both sides claim to be leading significantly.
So, the outcome of this election is really hard to predict. This is also why Bitcoin has experienced a panic correction, as those using high leverage are truly hesitant to gamble. Therefore, these individuals will choose to take profits before the election, which is a normal situation.
Personally, I'm taking a gamble while ensuring risk management. I'm holding onto spot positions without opening high-leverage contracts, waiting for the election results. After all, Musk is all in, so I can't back down. Once the votes are counted next Tuesday and the results are out on Wednesday, we will see!
