Analysis of the reasons for the sharp drop in the cryptocurrency market this morning and the opportunity to buy at the bottom
Analysis of the reasons for the sharp drop
1. Impact of CFTC data
The latest weekly Commitment of Traders (COT) report released by the Commodity Futures Trading Commission (CFTC) of the United States is one of the main reasons for the sharp drop yesterday.
2. Market strategy of hedge funds
Hedge funds have a huge influence in the market, and their trading behavior often guides the market direction.
3. Contradictions of ETF capital inflows
Although a large amount of funds have flowed into Bitcoin ETFs recently, the price has not risen significantly, indicating that there is a large selling pressure in the market.
4. Market leverage risk
The use of market leverage has played a role in fueling the sharp drop. When there are sharp fluctuations, the risk of leveraged trading is magnified, resulting in a chain liquidation reaction, further exacerbating the price drop. 👀 Near q1un + Wei: L20240098, everyone should avoid high-leverage trading to prevent risks.
Bargain Opportunity
1. FET (soon to be merged into ASI)
- Support level: $1.80, extreme support level: $1.6
- Potential: As a representative project of the AI sector, FET has great growth potential. 2024 is regarded as the first year of AI, and another wave of FOMO is expected.
2. PEOPLE coin
- Support level: Current small support level is $0.1, extreme support level is $0.75
- Suggestion: Hold until the climax of the US election in November 2024 and sell, which may usher in a market boom.
3. ORDI coin
- Support level: Band support level is $55, extreme support level is $45-43
- Strategy: Spot holders can sell in batches and use market fluctuations for band operations.
4. TRB coin
- Support level: Current small support level is $100, extreme support level is $81-60
- Suggestion: For investors who can hold for the medium and long term, consider allocating some positions.
5. BOME
- Plan: The current weekly trend is not good, and the plan is to sell at $0.017. The long-term entry plan is in the range of $0.01-0.009.
- Strategy: Although there is a 75% increase in profit, the position is not large. Investors can arrange in this range and wait for the market to recover.
Summary
In the current market environment, despite the sharp fluctuations, there are still opportunities to buy at the bottom.
Everyone should conduct sufficient research and risk assessment and choose the right currency for layout.
