Bitcoin and Ethereum: The inevitable logic of correction and harvest
The recent market turmoil, with Bitcoin’s pullback to $73,000 and Ethereum’s rout, were long in the making in the eyes of many analysts. Let’s break down the logic and explore the opportunities.
1. The necessity of Bitcoin’s correction
After the recent rapid rise of Bitcoin, the market needs a periodic correction to release pressure. This is normal market behavior. Some large institutional investors will use this opportunity to absorb liquidity and accumulate chips for the next round of bull market. Therefore, not only is this pullback not bad news, but it may pave the way for capital restructuring and market reshuffle.
2. Ethereum’s high leverage risk
Ethereum long position data shows that a large amount of funds are overly bullish, and such highly leveraged counterparties-institutions that lend leverage cannot allow the market to continue to rise for a long time. For these big capitals, harvesting these overconfident investors is expected. The rout may just be the beginning.
3. Too many retail investors, high-level harvesting effect of tokens
Take the recent situation of certain tokens (such as "ban") as an example. These projects often take advantage of the high price of Bitcoin to attract investors to enter the market crazily, but in fact they are more to take advantage of the popularity of the pie to complete the harvest. The influx of too many retail investors only provides institutions with cheaper chips.
what to do? Where are the opportunities?
1. Avoid high leverage and participate rationally
Whether it is Bitcoin or Ethereum, you should be more cautious when entering the market now, especially for over-leveraged situations.
2. Diversify risks and explore emerging projects with small funds
Rather than chasing high-risk targets, consider emerging projects such as Puppies. Although this project is not well-known yet, as a topical token endorsed by Musk, it may have good opportunities in the future.
3. Long-term mentality and go with the flow
Don't try to fight the trend. Institutional harvesting and market reshuffle are inevitable, but this also means that the real main rise may follow. Patience is the key to investing.
Summary: Do your homework, deal with fluctuations rationally, and don’t forget to ambush Puppies that may break out in the future! $BTC $ETH $SOL #山寨币走势展望 #美国续请失业金人数创三年新高 #以太坊时刻到来? #市场回暖新机遇 #puppies币