At 3 PM today, the market suddenly entered a correction mode, directly breaking through the middle track of the Bollinger Bands, very cleanly and decisively, indicating that this drop was suddenly met with selling pressure.
Thirteen has looked at all the data and news, and it is almost impossible to find a reasonable explanation for this drop.
However, we have all mentioned that the current market is still in a consolidation phase, and it could remain in this state until just before Trump's inauguration, so everyone should be mentally prepared.
However, this also provides a good opportunity for high selling and low buying.
I have clearly informed everyone of the operating range, and you can try small positions, but don’t be reckless, because the main forces can break these so-called supports and resistances at will during this time.
However, from the clearing map, it seems that the downward clearing targets have probably been achieved, and the probability of the market oscillating upwards tomorrow is slightly greater.
If the market corrects to the 93,000 support range, it’s a good time to buy a bit.
In fact, analyzing these short-term market movements every day is just something we bloggers have to do; it doesn’t have much guiding significance for everyone.
Especially with Thirteen's investment method, such small-level fluctuations do not affect us at all; a drop can even be a good thing, allowing us to buy at low levels, sell at relatively high levels, and continue to lower our overall holding costs.
But in this process, we will generate a lot of panic; these emotions need to be correctly guided, otherwise, excessive fear will lead to selling off.
At this moment, exiting would truly be falling before dawn.
2,
The economy is not doing well right now, which is often not felt from the data.
Everyone may feel that this year has put a lot of pressure on them, and they are tightening their belts to get by.
Even institutions have been appropriately pulling back some cash these days, especially Bitcoin ETFs, which have seen a large outflow, with BlackRock leading at $138 million before Christmas.
Thirteen has seen a lot of data; many people analyze this behavior, summarizing it into two reasons:
One is the Federal Reserve's hawkish stance; inflation has not been effectively controlled, and the expectation of interest rate cuts is slowing down, so the market's risk aversion will increase, and Bitcoin, as a risk asset, will undoubtedly be the first to bear the brunt.
Secondly, the US dollar supply has decreased by $4.1 trillion since its peak in October.
Intensified the panic, causing this wave of Christmas robbery.
However, Thirteen feels that these bearish signals may be a show put on by the main forces; after all, these risks are almost obvious, so there’s no need for them to appear at this time. Is it a coincidence?
There are no coincidences in the cryptocurrency world.
After more than thirteen years in the cryptocurrency circle, I understand one principle: when the market is continuously bearish, the main forces will secretly buy in.
Now is just the right timing, between Christmas and Trump's inauguration, the main forces have ample opportunity to create panic while quietly accumulating.
After Trump takes office, the favorable policies for cryptocurrencies will come one after another.
However, the current bearish signals in the market are indeed too few, so the main forces have to create some out of thin air, coupled with some data support, it’s enough to put immense pressure on retail investors.
Therefore, regardless of how the market fluctuates, you must not move.
You can buy at low levels, sell after it rises, and continue to maintain a good cash position.
3,
Remember some time ago, Thirteen kept telling everyone that December might be the last opportunity to enter before the bull market starts.
Looking at it now, the market's trend is just as we expected, and the correction has given everyone an entry opportunity.
Many people are confused, knowing it’s a bull market, why does it need to correct to let you enter?
In fact, everyone overestimates retail investors; during a correction, they absolutely dare not enter the market because they fear further declines and getting stuck halfway up the mountain.
On the contrary, when the market is rising, retail investors are fearless, as buying today means rising tomorrow; the more it rises over the month, the more people enter, creating a rising cycle.
But if you stand from God's perspective, you'll find that entering during an uptrend carries too much risk.
So, when the main forces want to shake out retail investors, they usually only need a correction to let most of them exit, while providing themselves with a better entry and accumulation range.
Once they complete their layout, the market will suddenly start at some point, and retail investors won't have time to get on board.
Only able to chase at high levels.
For example, when Bitcoin was fluctuating around 60,000, Thirteen's articles were encouraging everyone to buy at the bottom and to maintain confidence; at that time, I also said the same thing, that the market would suddenly start at some point.
Thus, Bitcoin suddenly soared from 60,000 directly to 100,000.
Looking back, did we consider it chasing high when entering above 90,000? Of course, it was.
However, considering Bitcoin's performance in this bull market, latecomers must get on board, or they will miss this bull run.
Therefore, in any investment market, when quality assets plummet, that is the best time to enter.
Don't consider junk assets; when this bull market ends, altcoins have no lower limit when they drop.