#比特币市场波动观察
After three consecutive days of decline, many retail investors have been liquidated. Where is the bottom?
Once again, over 300,000 people have been liquidated, with amounts exceeding 7 billion. Bitcoin, along with the entire market, has experienced a continuous drop for three days, feeling like a meat grinder. So, where is the bottom next? When will it be safer?
There are several reasons for this sharp drop. The Federal Reserve has clearly stated that it will not hold Bitcoin and has no plans to change the law. Additionally, many investors who made profits earlier want to withdraw their investments, and there may also be large players intentionally suppressing small retail investors. Finally, the timing at the end of December makes people uneasy, with prices unable to rise.
Is this drop deep? I think it's okay. In the last correction, it dropped from 73,777 to 49,000, which was truly frightening. This time it has only corrected by 12%. You say altcoins have dropped? They dropped last time too.
Let’s start with the conclusion, and then I will analyze it in detail later.
Bitcoin has dropped to around 95,000, and there are no signs of stabilization yet. During such volatile times, it's not suitable to place orders; buying some spot during dips is fine.
Ethereum has dropped to around 640, correcting by 21%, which is still relatively strong. After all, it is a mainstream coin, and it's quite comfortable to do spot quant trading back and forth. When it rises back, you will profit.
For Ethereum, it dropped to a low of around 3097, which is quite weak. After this rise, a strategy adjustment is needed. Fortunately, there are institutional ETFs buying; otherwise, there would be even less bottom line. Anyway, with institutions holding it up, they buy more as it drops.
Next is the technical analysis:
Bitcoin's K-line has dropped sharply for three consecutive days, and the four-hour line has not had consecutive bullish candles today. If tonight’s daily line closes bearish again, it will be three consecutive drops. Right now, neither bullish nor bearish positions are appropriate; it's not suitable to place orders during volatile times. If you have spot positions, just watch the show, and if you have bullets, buy more as it drops. Don’t think it’s impossible for it to drop more than 20%.
Bitcoin is lower than yesterday, while Ethereum is about the same as yesterday. Short positions are increasing; many may think that at this time many people are becoming bullish, but in fact, it hasn't stabilized yet.
For the next layout direction, I will guide everyone to aim for the profitable opportunities in altcoins, especially those with great potential projects, with an expected space of over 10 times being no problem. If you want to make big money in a bull market, like and leave a comment, and I will help you layout for the entire bull market!
