A Brief Discussion on the Current Situation in the Cryptocurrency Market 👀
Retail Investors and Funding: Currently, retail investors in the cryptocurrency market are losing patience, and there is a lack of substantial new capital inflow.
Capital Outflow and Institutional Situation: Affected by the US interest rate hikes and stricter regulations, large funds that previously flowed in and out mainly through American banks have virtually disappeared. At the same time, the overall economic environment is not very favorable, and institutional funds are also not abundant.
Domestic Regulatory Impact: Domestic regulations remain very strict, causing domestic project parties to act cautiously.
Innovation and Opportunities for Retail Investors: There is little innovative content in the cryptocurrency market, most of it is just old wine in new bottles, with no groundbreaking new things emerging. Retail investors' opportunities are mainly concentrated on-chain, but due to the lack of sufficient incremental capital, the profit-making effect is difficult to sustain, making it hard to form a consensus among retail investors.
Conditions for Changing the Situation: To change the current situation, the US needs to release funds again and increase market liquidity, and Hong Kong should relax related policies to allow institutional funds to enter the cryptocurrency market through more channels. At the same time, Ethereum needs to continue optimizing on-chain transaction fees, so as to unite people's hearts and cultivate consensus.
Recent Situation and Future Expectations: Last year was tough, and this year turned out to be even more difficult. Retail investors participating in airdrops and buying small-cap unknown coins (sh*t coins) have suffered greatly, and even holding spot assets has seen a significant decline, ranging from 60% to 90%. It is estimated that the cryptocurrency market will only become active again after the US starts cutting interest rates.
Bull and Bear Cycles and Seizing Opportunities: This outlines the general trend and rhythm of the upcoming bull and bear cycles in the cryptocurrency market. There are optimistic views for the fourth quarter. If one can grasp this phase well, there shouldn't be too many problems; the remaining question is whether there is faith in the cryptocurrency market.
Finally, it should be noted that there are actually many topics not covered here, such as specific investment opportunities, decision-making, and advance arrangements, which are often not something a single article can fully address. Everyone is welcome to exchange ideas and share more bullish strategies and cutting-edge information about the cryptocurrency market.