Recently, the cryptocurrency market has experienced another violent fluctuation. Many people are in a low mood and even begin to doubt that the bull market has ended. In fact, it is in this panic that the best time to enter the market is often hidden. When the market is most panicked, it is the time when investors can buy at a low price. Seizing the opportunity at a low level is the key to success.
Market environment analysis:
Recently, Trump is about to return to power, and policies are constantly changing, especially tariffs and U.S. debt issues, which may trigger violent fluctuations in the stock market and the cryptocurrency market. At present, the U.S. Treasury yield has climbed to 4.65%, and funds are pouring into U.S. bonds, which has suppressed market sentiment, thus affecting the trend of the cryptocurrency market and triggering the current correction.
Technical interpretation:
From the daily line, although the market experienced a sharp drop yesterday, funds have begun to support it near 92,500. As long as this low point is not broken today, the market may stabilize. The 1-hour chart shows that the price began to shrink after a large-scale decline near 96,000, and it is unlikely to fall sharply in the short term. Therefore, it is recommended to avoid shorting in the short term, but to consider going long at a low level.
Operation strategy:
From the trend of the 3-day line, the market correction is nearing its end, and MACD is close to the zero axis. It is expected that the currency price will gradually recover around next Thursday and enter a new round of rising cycle. This is a good opportunity to buy the bottom in batches, especially for long-term optimistic investors.
Risk warning:
Although the recent frequent release of economic data such as non-agricultural, employment rate, and CPI may bring market fluctuations, from historical experience, non-agricultural data is likely to be positive, while CPI may slow down the economic process and lead to a short-term market correction. Even if you are trapped in the short term, it is only temporary. As the market picks up, it may usher in a substantial increase in the next few months. At this time, making long-term plans and waiting for the market to pick up is a strategy worth looking forward to.