Christmas has passed, but the festive atmosphere will continue to affect the market for some time, expected to last until January 6. Although the US stock market will open normally today, trading volume and liquidity may not be very high due to the holiday effect. In this case, the price of $BTC has broken through 99,000, which indicates how high the market sentiment is; remember just a couple of days ago many major influencers predicted 80K or 70K, isn't that a slap in the face?
This could be the influence of market trends, or perhaps people are starting to accept the Federal Reserve's expectation that there will only be two rate cuts in 2025. After Chairman Powell's speech, the BTC price has also gradually risen back to around 100,000, showing that investors may have already digested this expectation.
The core PCE data before Christmas was also a factor boosting market sentiment. Before liquidity is restored, the market may continue to fluctuate. My view is: we should first observe the trend after the US stock market opens today, although many institutions and investors in the US are still on holiday, liquidity will improve after the market opens.
Facing BTC rising back to 99,000 again, how will US investors react? Will they continue to buy or choose to sell for hedging? This will soon be revealed. Of course, if investors in the US are highly enthusiastic about investing, it would undoubtedly be a significant positive for us!
After the next two working days, the New Year is approaching, so the market sentiment on the first trading day will be very important. Whether the price prediction is correct or not is not the key; the key is whether we believe the market trend is still ongoing. If we believe the trend hasn't ended, then holding is the way to go.
Many times, our overall judgment is correct, but often you may be affected by various manipulations by major players and the chaotic noise in the market, leading to either liquidation or cutting losses. To give a simple example, everyone knows that the victory of the founding election and the inevitable rate cut before the end of the year, but how many people have held on until now? Most people probably have lost everything they had.