The price started to pull back. Bitcoin fell from 99K to 91K as expected, scaring all those who chased high prices.
In fact, the pullback of Bitcoin is not the point. The point is that the second largest cryptocurrency and the altcoins did not fall along with it. However, in fact, the focus of this pullback is not on Bitcoin. The key is that the second largest cryptocurrency (Ethereum) and the altcoins did not fall along with it.
If Bitcoin fell like this, the second largest cryptocurrency and altcoins would have plummeted. But since the day before yesterday, the second largest cryptocurrency has risen. What does this mean? Some of Bitcoin’s profits have begun to flow to the second largest cryptocurrency and altcoins. It seems that the altcoin season is coming soon.
So where will the bitcoin price fall back to next?
The monetary policy minutes released at 3 a.m. have come out. The hawkish news caused the coin to fall below 91K. In addition, the U.S. stock market will be closed from Thursday, which may cause insufficient liquidity in the short term. I think there is a good support near the integer mark of 90,000, and there is a stronger support level below 87.5K. It depends on how the dog dealer cleans the market. The market may change at any time, but don't panic. The callback is actually for the next wave to take off better. The pace of the currency circle is getting faster and faster. Everyone must seize the opportunity and don't miss this big market once every four years.
Continuing with today's BTC market analysis: From the K-line, the 1-hour level is a rebound and upward trend, the 4-hour level has signs of bottoming out, the 12-hour level is falling, and the daily level is also falling. The intraday pressure level is $95,500 and the support level is $90,000.
You can never make all the money, but you can lose all the money. Everyone must reduce their positions when they make a profit. In a bull market, the most people lose money because of greed. Don't chase more. Don't bet on the top and short. Do a good job of position management. We all have a bright future!!!
Let’s take a look at the situation of altcoins:
SAND soared 100% in two days, and the old public chains collectively awakened
The figure below shows the growth performance of the top 100 tokens in the past 24 hours. It can be seen that SAND (up more than 100% in the past two days) and MANA, two old Metaverse concept coins, have seen amazing growth in recent days.
Performance of each sector in the past week
According to Artemis data, in the blockchain sector in the past seven days:
The Data Availability sector saw the largest increase, reaching 36.4%. Representative projects include Celestia and Dymension, but there are relatively few tokens in this category.
Next is the Gaming sector, with an increase of 25.4%. Projects such as SAND, AXS and MANA performed well.
Ranked third are some old public chains, with an increase of 22.1%. Representative projects include ADA, VeChain and IOTA.
Two standard features of this round of public chains
Now, public chains basically have two standard features.
The first one is meme
This has almost become a standard feature. Public chains must have their own meme craze. Either the foundation itself acts as the market maker, or finds other institutions to act as the market maker, creating a wave of wealth effect and attracting traffic. The foundation and market makers must cooperate, operate carefully, raise prices, and create topics and heat.
The second one is the AI six-piece set
At present, the six-piece AI set has not yet been fully formed, but the basic framework has begun to emerge.
First of all, there must be an IMO and the model must be released.
Then, based on these models, we can create an AI Agent distribution platform and add some leverage.
Then, based on the platform, we can launch various AI Agents for the B-end and C-end, let them collide with each other and give birth to new assets.
After the new assets are launched, we still have to continue to boost the market, so we set up an AI Dao fund to continue leveraging and support the core AI Agent assets.
Finally, if other on-chain projects or old DeFi require AI services, an OAO (Onchain AI Oracle) can be created to bring all chain applications into the AI era.
If these are not enough, then create some pure AI memes, such as mascots, to add icing on the cake and increase popularity and attention.
This is outrageous! The AI meme craze has made secondary AI projects look inferior!
Like GOAT, ACT, ai16z, Shoggoth, UBC, and LUM on the base chain, it seems that these are not so shining anymore.
AI has now become the entrance and password to the meme world! The overlap between smart money is too high. I wonder if these projects are all operated by the same group of people? This is also an interesting phenomenon I have observed, and it may inspire some people!
Now a consensus has basically been reached on the chain: Go for the AI meme.
Whether it is a coin issuance platform, a meme with a joke, a "first coin", or even a meme coin supported by an institution, everyone's focus has been on AI meme.
Just like ACT, it seems that it can no longer be suppressed. The AI meme craze is coming in waves, and everyone is following the trend. This trend is now almost unstoppable. Everyone knows that AI meme is the focus that can attract the most funds and attention.
So is now a good time to buy at the bottom?
If your position is less than 70%, you can now consider entering the market in batches to buy at the bottom.
Although there may be some adjustments in the market in the short term, the overall upward trend remains unchanged in the medium and long term.
Trump will not officially take office until January 20, and the SEC chairman will also resign on the same day, so the real big market should be yet to come.
According to the Fed's latest meeting minutes, they believe that a 25 basis point rate cut in December is appropriate. If inflation continues to rise, rate cuts may be paused, but if unemployment rises or the economy slows, the pace of rate cuts may accelerate.
According to CME's "Fed Watch", the probability of a 25 basis point rate cut in December is 63.1%, which is similar to our previous expectations. There is a high probability that there will be another rate cut in December.
Judging from the US Strategic Reserve Act, if Trump comes to power again, the proposal to use Bitcoin as a strategic reserve is likely to pass.
At that time, the United States may establish a Bitcoin reserve system covering Europe and the Middle East, which will attract a large number of sovereign funds to take over, which is a real benefit.
Yesterday, a Brazilian congressman also proposed the establishment of a national Bitcoin reserve. It is expected that more and more countries will include Bitcoin in their strategic reserves in the future.
Therefore, for us ordinary investors, as long as we hold a large position in Bitcoin, we will be able to enjoy the growth dividend of this industry in the future.
It is basically only a matter of time before Bitcoin breaks through $1 million. If Trump comes to power again, Bitcoin may enter a long-term bull market.
If the market experiences a sharp correction in the future, it will provide us with an opportunity to take over at a low level. The key is whether you dare to seize this opportunity.
In fact, compared with BTC, it is much easier to judge the top of altcoins.
When altcoins peaked, the exhaustion of demand was very obvious. To put it bluntly, the fundamentals of most altcoins are actually very fragile and unreliable, and they basically rely on the liquidity of market makers to support them.
When market makers start to sell, the speed and volume of the shipments are very large. Once they start selling, the decline is so fast and sharp that you don’t have time to hesitate whether you have entered a bear market.
However, precisely because of this, this is often the time when altcoins trap the most people.
