Yesterday's fleeting moment in the crypto world made people experience a roller coaster ride. Currently, Bitcoin is still in a relatively tangled state. Overall, the pattern still appears weak, with signs of a top formation. From a daily perspective, the 90k line can serve as the dividing line for the strength of Q1 market trends.
Remember, when the price is low, we buy; when it's high, we wait. Don't rush to sell everything. This way, you won't fear price fluctuations, and your mindset will be as stable as Mount Tai! Don't be too impatient in trading; don't rush in when excited; have a plan, take it slow. After all, we're in it for the long term, not just day trading.
In summary, the upcoming market may take a break, but don’t rush. In the long run, the upward trend is still steadily on track. Gradually buy on dips and hold onto your chips, waiting for next year's explosive market!
The market is weak; patiently wait for the bloom!
During the dual holiday market, Americans are still in a holiday state, and market liquidity has sharply decreased recently, increasing market volatility, which makes sudden price spikes and drops more likely. This leads to a lack of enthusiasm in the market. Given the current market structure, it is expected that altcoins will synchronize with the benchmark index in the short term, with a low probability of independent market trends.
From both the US stock market and the crypto market, we can see that trading volume and volatility are relatively low. This kind of market is quite common at the end of the year, as there are a lot of settlements, whether for holiday selling or companies balancing their accounts. Therefore, this decline is reasonable and does not have a significant impact on the trend.
You can look back at the past year's end market trends, which have mostly been quite tangled. Except for the monotonous upward trend in 2020, other years have shown fluctuating markets. Real breakthroughs usually appear in January of the following year, so there's no need to overly focus on the market these days; just relax.
Future market outlook: Pay attention to the following events!
Market tends to fall during holidays. With the New Year's Day holiday approaching, there hasn't been much macro data released recently. In previous years, entering the New Year's holiday, the market, primarily driven by American buyers, generally continues the low purchasing power seen during Christmas, so increased market volatility is expected in the near future.
However, it is worth noting that the market in January next year is definitely not going to be bad. At the beginning of the month, FTX will pay $16 billion, and the repayment will be completed within 60 days. This $16 billion is a significant positive for the crypto world. Additionally, on January 20, a new administration will take office, which may bring an unprecedented super bull market to the crypto market.
Recent events to watch:
On Monday (December 30), the European Securities and Markets Authority released the implementation of MiCA crypto regulations.
On Thursday (January 2), the number of initial jobless claims in the US for the week.
On Friday (January 3), the court approved the effectiveness of FTX's Chapter 11 reorganization plan.
Let's talk about altcoins.
Bitcoin dropped yesterday, and many altcoins became weak like soft mud. At this time, it is still necessary to hold on to good quality strong coins and let go of those weak trash coins. Currently, many altcoins have stopped following the drop, and a bottom range has formed. Regardless of how January adjusts, it will be everyone's last opportunity to enter.
So how can retail investors seize the bull market opportunities? There are only two core points!
Firstly, choose the right value coins.
Secondly, buy within a suitable safety zone.
Only by meeting these two points can you gain a good return from this complex fourth Bitcoin halving bull market. Specific targets to consider for bottom fishing are as follows.
BlackRock's carefully selected: ONDO, CRV, ENA, and APT.
Grayscale's carefully selected: ZEN, ZEC, XLM, and LPT.
Presidential selections: LINK, AAVE, ENA, ONDO.
Along with Elon Musk-related DOGE, etc.
You can pay attention to projects held by these presidents and large institutions, which likely have some performance opportunities, especially under institutional promotion, as they may have more stable growth potential than other projects.
Finally, let’s talk about what to do when you find yourself stuck in a position.
Recently, the roller coaster market has trapped many people. If you are stuck in your crypto investment, you can refer to the following strategies to get unstuck:
1. For short-term operations, if stuck, decisively stop loss and close positions. If no rebound is seen in the short term, stop loss in time to avoid greater losses.
2. First stop loss, then buy on dips. First, cut the losing part, then add positions when the price is low to reduce overall losses.
3. When the market hasn't deteriorated and is not in a bear trend, gradually average down against the trend. When the market is not in a clear downtrend or bear trend, you can buy in batches to gradually reduce the cost and wait for a rebound.
4. Set a stop-loss point; close positions at maximum loss. Set a stop-loss point, and once the maximum loss is reached, decisively close the position. Don’t take risks; protect your capital.
5. If stuck in high positions, wait for a rebound to exit during sideways fluctuations. If you are stuck in a sideways range and the support level has not been broken, you can wait for a rebound to exit.
6. Be patient in locking positions, and unlock and add positions when bottoming or rebound signals appear. If you are stuck without particularly bad news, you can lock the position and wait for the market to show rebound signals before considering adding positions.
7. After being stuck, add positions on dips using the pyramid method to lower the average cost. When the drop reaches 15%, add positions appropriately to reduce the average holding cost, waiting for the market to recover.
8. Increase positions in line with the trend to lower the average cost. If you see the big trend clearly, increase positions in line with the trend to lower the average cost and wait for further market rises.