🚨【In-depth market analysis】On the surface, the BTC selling by the German government and Mentougou caused panic in this round of decline. In fact, there are many malicious short sellers behind it, with the purpose of clearing leverage and borrowing. Therefore, the on-chain data reveals that in addition to Mentougou, there are also big investors selling.

📈The long-short ratio soared to more than 2.5, and the market sentiment was extreme, but the bulls still moved forward courageously. My suggestion: Don't buy the bottom for the time being, the risk of falling is high.

🔑The reasons are as follows:

1️⃣The German government and Mentougou sold a large amount of BTC. Can the market bear it? More importantly, there are more than just two short sellers.

2️⃣Although panic spreads in the market, there are endless bottom buyers.

3️⃣The probability of the Fed's interest rate cut in August is almost zero, and the market turning point has not yet arrived.

🔍The essence of this round of decline: cleaning up big investors, especially borrowers who use BTC and ETH as collateral. When liquidity dries up, extreme market conditions are prone to occur. The German government and the Mentougou incident are just the fuse.

📉My opinion: Bearish but not short. BTC is expected to have 10% room to fall, but the risk is high, so it is not recommended to chase it. From 72,000 points to 54,000 points, the callback is more than 25%, but the deep wash is usually 30%-40%.

🛑The best strategy: wait and see with empty positions, and wait patiently for the opportunity to buy at the bottom. Remember, opportunities come from falling, and risks come from rising!