Hello, crypto friends! Today is Thursday, November 12, 2024.
Today, let’s review the trends of Bitcoin and Ethereum. Bitcoin has officially surpassed the 100,000 mark, and Ethereum is also above 3900. This 100,000 mark has been tested several times. The reason for this breakthrough is due to two fundamental factors and technical reasons.
1. First, the fundamental aspect is the CPI data released last night. Once this data was out, it was basically determined that there is a 98% probability of a 25 basis point rate cut this month. The Federal Reserve also believes there is a high chance of a rate cut this month. Once a rate cut is announced, many funds will shift from banks to stocks and the crypto market for investment, as bank interest rates have decreased. This is one reason.
2. The second reason Bitcoin surged by 10 USD is that USDT company evaporated another 2 billion USD last night. History tells us that every time there is evaporation, there will be a surge. These are two fundamental data points.
3. Let’s talk about the technical aspects again. Yesterday morning, Bitcoin was in the range of 94,000-95,000. I mentioned that we should look at the direction of the breakout. Defense comes first, risk control comes first. Once it breaks through 96,000, a short-term rebound trend will follow. Overall, Bitcoin remains strong in the later stages of this bull market. Therefore, I have been continuously reminding everyone about this week’s significant volatility period. I have told everyone that this week's long-short battle is truly playing out vividly. I also keep reminding you that if you are a novice without technical support and only look in one direction, then you will only end up being liquidated back and forth.
Now that we've covered that, let's discuss the technical aspects! As of now, Bitcoin has rebounded to a maximum of 101,871 and Ethereum has rebounded to 3947, indicating that this position has certain pressure. If it wants to reach a new high, it is very likely to go through a (down first, then up) trend. The first support below is at 98,000, and the second support is around 95,000.
Next, let's talk about Ethereum (ETH) as well. It needs to break through 4100 to continue moving upwards. The support below remains unchanged between 3450 and 3500. I am quite optimistic about Ethereum's rebound next year. So, last night when Ethereum was dropping, an account continuously bought in, likely with billions of funds purchasing ETH and beginning to store it in wallets. There are still some big players continuously buying during every dip. I believe it's fine to follow the smart money. Therefore, my ETH spot position remains unchanged. Every pullback is an opportunity: small drops are small opportunities, big drops are big opportunities, and sharp drops are significant opportunities, right? As for other altcoins, there's not much to say.
Finally, let me explain why I, Lao Liu, have been posting less recently. Because I am currently focusing on a highly anticipated private trading strategy, which is expected to be released over the weekend! Please stay tuned! That’s all for today...