The currency circle has been experiencing violent fluctuations recently, the market has been in a deep downturn, liquidity has shrunk significantly, and investors generally feel a lot of pressure. Faced with this situation, we judge the bottom of the market mainly from three dimensions: first, observe whether altcoins decline simultaneously when Bitcoin falls. This is like using the perspectives of large investors, large VCs and market makers to assist in analyzing market trends; Secondly, examine whether market sentiment has hit rock bottom and whether despair is widespread; finally, pay attention to whether there are new turning points, such as the upcoming CPI data, whose uncertainty brings a glimmer of hope for a change in the market. Despite the uncertainty, I still tend to believe that the market is expected to benefit from interest rate cuts in September at the latest to November general election voting, especially the period from mid-August to mid-November. Investors should seize the opportunity and actively operate during the golden window of rebound. However, it is also necessary to be wary of the traditional off-season between Thanksgiving and the Spring Festival, and adjust strategies in a timely manner to ensure that profits are pocketed.
In terms of short-term operations, this Thursday's CPI data may be a shot in the arm for the market, triggering a short-term rebound, but it should be noted that this is more likely to be a technical repair rather than a trend reversal. The real reversal may only appear when the price of Bitcoin reaches a lower level, such as around 49,000, which completely destroys the confidence of bulls and stimulates the carnival of bears. Therefore, it is expected that the market will show a trend of rising first and then falling, with increased volatility in the next few weeks until August. During this period, the support level can focus on the range of 53,000 to 50,000.
It is also worth mentioning that the market is not entirely gloomy, and an important piece of news may inject vitality into the market. It is rumored that Binance, the currency giant, plans to take action to boost the market on July 14, the seventh anniversary of its establishment. Looking back on last year, Binance used the Industry Recovery Fund to significantly increase the price of Bitcoin, creating significant gains in the short term. Although this year’s seventh anniversary celebration may not necessarily replicate last year’s glory, it is expected that a series of positive news will be announced. Particularly worthy of attention is the BNB coin. As the core of the Binance ecosystem, it may usher in unexpected surprises and is relatively immune. Other adverse factors interfere.
In addition, SOL coin should not be ignored either. As a leader in the public chain field, it has many unique advantages: first, its amazing transaction speed and low gas fee are the key to attracting users; second, the strong capital support and foundation operation behind SOL provide a solid backing for its development; third, the rich project ecology and active liquidity on the SOL chain make it a leader in the market; finally, the rapid development of the NFT market on the SOL chain has added infinite imagination space for it. The rapid growth of its sales indicates that SOL is expected to shine in the future bull market, and may even surpass ETH and become a new market focus. Therefore, while paying attention to market dynamics, investors should also take SOL into consideration and look for potential investment opportunities.
