Bitcoin takes a deep breath; institutions are optimistic about next year!
Has Bitcoin made you a bit drowsy these days? It’s oscillating between 93,000 and 98,000, like taking a deep breath, preparing for a big move. But don't rush; institutions generally have a positive outlook for next year, and I personally think we are in an ascending phase right now.
After all, the market soared like a rocket in the past two months, and now it needs to take a breather and stabilize! You know, the market changes as quickly as flipping a book, and we need to stay calm and composed.
So how will the market proceed next?
Let's start with Bitcoin; it seems to be 'looking for direction' right now. If there are no bad news interruptions, it might suddenly surge one day. But at this point, don’t put all your funds in; I suggest doing small regular investments and taking it slow. Have a bottom line in mind; if it drops another 10%-15%, we can still average down.
Looking at BNB now, it's consolidating in the range of 680 to 720; today’s performance is a bit lazy compared to yesterday, possibly because the airdrop activity is ending soon, and friends who made money are withdrawing.
As for Ethereum (ETH), it is oscillating between 3200 and 3700, waiting for a breakout. Although Bitcoin hasn’t shown much movement, Ethereum might not be idle; recently, institutions have shown some favor towards it, increasing their holdings significantly!
Let's talk about today's technical analysis of BTC: from the candlestick chart, the 1-hour chart shows signs of halting the decline and rebounding, while the 4-hour, 12-hour, and daily charts are still in a downward trend. Today's resistance level is at 96,500, with support around 91,000 dollars.
BGB has dropped nearly 20%!
However, seeing everyone, especially the teachers in various groups, flaunting their earnings on the chain, I’m a bit anxious. Does it mean we have reached a short-term peak signal? At least I caught this signal on BGB and exited quite timely.
I still see long-term potential in the AI Agent sector; projects like Ai16z, Virtual, and Aixbt will continue to explode. Moreover, I believe 8 dollars is not the peak for BGB. As the saying goes, 'buy when no one is paying attention, sell when the crowds are roaring.' Even if some positions get sold off, making a profit is still a good thing.
I have already taken profits on some earnings on the chain; next, I will set buy orders for the targets I’m optimistic about at low positions. I’ll discuss with other teachers tomorrow, hoping for more new inspirations.
However, New Year's Day is approaching, and a big market trend is about to arrive!
Currently, Bitcoin is dropping significantly, while Ethereum is rising; this could be a signal that the market is starting to shift, entering the second stage. It’s worth noting that as I mentioned before, FTX is also close to starting repayments on January 31, just 4 days left; let’s see if FTT will show any performance.
AI Agent projects on the chain are now extremely popular, with new launches every day, but the secondary market for AI is still relatively quiet. Other sectors are similar, all waiting for the wind to come.
Following this trend, will the rhythm of sector rotation be like the beginning of this year, first AI, then meme coins, and then other sectors? Let's wait and see!
Good news: the DeFi token ENA that I hold among the altcoins has performed quite steadily during this wave of market correction.
However, there's also some bad news; the three new coins—ACT, Neiro, and Pnut—have hit new lows again in the middle of the night!
Recently, some group members feel that the current trend resembles the continuous decline after May 19, and they asked me when I think it will bottom out and rebound.
Actually, I think this time is quite different from May 19. Although both involve deleveraging, May 19 was a major correction following a massive market rally, akin to a crash. The current situation is more like a deleveraging phase before an increase; 90% of altcoins haven't really risen much and have just begun to show slight increases.
Bear markets are periods of accumulation, while bull markets are the time to realize gains!
2024 is almost over; where is the next stop for the crypto circle?
This year, the crypto circle has undergone a massive reshuffle; some chose to exit, while others chose to lie low, but opportunities always belong to those who plan ahead!
Historical data tells us that the second year after every halving often acts as a catalyst for a new market trend. Will we repeat this pattern again? First, BTC rises, then it expands to mainstream coins and emerging sectors; that may be the roadmap ahead.
Global regulation is accelerating; although it seems tightening, a compliant market has paved the way for institutions to enter. BlackRock's ETF is just the beginning; more traditional capital may fully engage in Web3 in the future. Big institutions are paying attention to these directions; what are you still hesitating about?
There are countless players in the crypto circle, but the ones that can be called 'big players' are probably just these 10 types:
Warriors holding a large number of altcoins: dreaming of the day they become rich, but racing against the risk of liquidation every day, with a heart rate that rivals a roller coaster.
A warrior who fails repeatedly but never gives up: not afraid of losses, not giving up after a loss, always believing the next wave will make a comeback, continuing to push forward!
Believers who stick to investing in only one coin: they firmly believe in one coin, regardless of its ups and downs, holding on tightly and persisting in their choice despite what others say.
Hardcore players trading crypto without a computer: a mobile phone is their only weapon, keeping an eye on the market anytime, anywhere, standing on the front lines.
Mysterious figures who never talk about the crypto circle: low-profile, enigmatic, quietly making money, while others remain unaware of what they are doing, only to leave people astonished when they finally act.
Conservative investors who sell decisively after earning about 20%: not greedy, not panicking; as long as there's a profit, they lock it in, steadily reaping rewards without exposing themselves to too much risk.
Adventurers who dare to invest heavily without learning: relying on instinct and courage to gamble on the future, with gains and losses left to fate, playing for the thrill of 'having a big chance.'
Fearless investors without a stable income: they have no fixed income but always feel that the next investment is an opportunity to turn things around, full of brave determination and a very steady mindset.
A hermit who claims to never buy coins: outsiders can't see the clues; clearly appearing like 'I don’t play,' but their wallet is quietly exploding every day.
Long-term investors who hold after buying for more than six months: they don’t see short-term fluctuations, endure solitude, earn value through time and compound interest, and firmly wait for future returns.
Which type are you?
Finally, here are some important news updates:
1. Since November 11, MicroStrategy has increased its holdings by approximately 192,042 Bitcoins, while BlackRock has also added about 118,795 Bitcoins.
2. Michael Saylor has released Bitcoin tracking information for the eighth consecutive week, possibly indicating he is increasing his Bitcoin holdings.
3. The CEO of Tether retweeted some posts, indicating that USDT will not be deemed illegal in Europe on December 30.
4. FTX will begin repaying $16 billion in cash, with claims processing officially starting on January 3, 2025. According to FTX's announcement, the court-approved Chapter 11 reorganization plan will take effect on January 3, 2025, and will serve as the record date for the first distribution.