Yesterday we mentioned that Bitcoin may take two downward forms. From the daily level, the first one is a converging triangle form. If the price can reach the bottom trend line, the price will stabilize above 60,000.
The other possibility is that the price may move in a large box of sideways fluctuations at the daily level. If it is a trend of moving in a large box, the price will fall below 60,000 and reach 50,000, 60,000 or 57,000.
Judging from the current situation, Bitcoin should be moving in a large box on the daily level, because the lowest price has fallen to 58,000, but after the price fell below 60,000, the rebound speed is still relatively fast.
The current price has returned to above 61,000. It can be considered that this wave is currently a false break, and it should have retreated to the bottom of the large box. According to our previous point of view, no matter whether the price is in a triangular convergence pattern or a large box pattern.
Because the price was in a very strong upward trend before entering this pattern, we believe that after the Bitcoin price enters a certain pattern and adjusts, it will most likely return to the upward trend and continue to rise.
Now I personally think that the bottom of this large box will most likely be supported, which means that we can now consider continuing to go long, or consider entering the spot market.
According to previous news, the Federal Reserve expects to cut interest rates twice this year, each time by about 25 basis points, and then next year and the year after, it is expected to cut interest rates by 100 basis points each year.
If we analyze the situation from the perspective of the general trend, we will enter a cycle of interest rate cuts, which can be understood as a large-scale money printing. That is to say, the current prices have given the opportunity to be at a low level, which is an opportunity to get on board.
It is expected that the target of Bitcoin may be to double or even reach 200,000 US dollars. Of course, this is just an expectation, but I think that after entering the interest rate cut cycle, Bitcoin will definitely rise, but the price may not be as high as I expect.
From this perspective, it is a long-term investment behavior, so the current temporary price rebound is only a short-term signal. We can expect a rebound confirmation at the daily level. To make long-term investments, we must at least look at the daily situation. Everyone can continue to look forward to it!
