Bitcoin fell to $57,116 early yesterday morning and then rebounded in shock. It exceeded $59,500 this morning and returned to the intensive trading area in the past month.
As the U.S. was closed for Labor Day last night, significant volatility is expected at the opening tonight. Despite the spread of market panic, giant whales on the chain continue to increase their holdings. Every time the price of Bitcoin drops sharply, there are often major opportunities hidden.
Future trends will focus on Bitcoin’s 120-day moving average. If Bitcoin can regain its footing above $64,000, it could signal a strong rally is coming. Prior to this, the shock adjustment may only be a short transition period.
September is an eventful month with many major events:
September is a critical decisive moment for the market! Important events occur frequently this month:
- 9.6 Non-agricultural data released
- 9.10 US presidential debate ignites election campaign
- 9.11 US CPI data for August released
- 9.18 Federal Reserve interest rate meeting will detonate the market
- 9.29 CZ may be released from prison, attracting attention
Historical patterns show that there is usually a rise before interest rate cuts, but there may be a correction after a rate cut, followed by the start of a bull market.
Therefore, September may experience an initial rise and then a correction. If we can survive this period of shock, we will have a brighter market prospect!
Why the market is going so hard:
First of all, the last round of increases was too large. There should have been a large-scale washout in January, but the adjustment was postponed to March, so this adjustment is bound to become the most violent in history.
Second, the market needs to deleverage. Having accumulated a large number of long contracts, there will inevitably be a huge liquidation. The amount of liquidation on August 5 has become the highest in the history of the currency circle.
In view of this, the possibility of falling below $49,000 in the short term is almost zero, which means that $49,000 will become the new bottom support. The latest secondary bottom should not be lower than $49,000, and the extreme position is only above $50,000.
Finally, the current price is close to the high point of the last bull market, and there are still a lot of hold-ups to be cleared, so rebounds, adjustments and shocks in the short term are normal. This shock will continue into September and October, but don't be surprised. Long-term accumulation will bring about a stronger explosion, and the opportunities in the altcoin market will be more abundant.
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