Another wave of manipulation by market makers: Bitcoin falsely breaks out and actually pulls back, with a bigger conspiracy hidden behind it!
I once warned that Bitcoin only relied on Powell's hint of a rate cut, which was far from enough to support a continued surge in prices, and now all this is gradually coming true.
In the past few weeks, Bitcoin has formed a seemingly strong breakthrough at the 55-day MA, and the market is jubilant. However, just when everyone thought the bull market was about to make a comeback, the price quickly turned around and returned to below the 55MA. This is a typical "false breakthrough"
Powell's hint of a rate cut: just a flash in the pan
As I said before, the fundamentals of the global economy have not changed substantially, inflationary pressure remains, and economic recovery is still weak. More importantly, the liquidity problem in the market has not been fundamentally solved, and the effect of the rate cut is only a short-term stimulus, which cannot bring long-term upward momentum.
A small rebound under technical support: just an appearance
In the long run, the market lacks substantial good news. Even if there is a short-term rebound, it cannot change the overall weak trend of the market. Uncertainty in the global economy still exists, and Bitcoin, as a risky asset, is difficult to obtain sufficient financial support in this environment. What's worse is that once the interest rate cut is actually implemented, it may trigger new risk events, or even black swan events.
Black swans in front: greater risks are still behind
Although the interest rate cut will inject liquidity into the market in the short term, in the context of the fragile global economy, this liquidity may bring more market instability. Inflation, geopolitical conflicts, and global supply chain disruptions may all become potential risks in the Bitcoin market.
Once market sentiment reverses and the dealer completes the shipment, the impact of the black swan event may cause the Bitcoin price to collapse instantly. For those investors who blindly chase high prices, the result can only be that they are locked in at a high position by the dealer.
Beware of the dealer's tricks and look at the market rationally
Waiting for the market's real trend reversal signal is the most sensible investment strategy at present
Remember that the market will never be a one-sided market, and the dealer's tricks will not only appear when it rises
