The U.S. Court of Appeals overturned the SEC's decision to reject Grayscale's application for the listing of a Bitcoin spot ETF. This decision created conditions for the listing of the first Bitcoin ETF and injected a strong impetus into the cryptocurrency industry.
However, we need to remain cautious. The SEC cannot sit back and wait. They can also ask all judges of the Court of Appeal to reconsider Tuesday's ruling within the next 45 days. If the Court of Appeal refuses to accept the case, the SEC will have 90 days to request the Supreme Court to review it. Therefore, although the US court's decision is a big step forward, the dust has not yet settled, and we still need to wait and see.
However, the market reacted very positively to the decision. Grayscale's Bitcoin Trust GBTC and the entire cryptocurrency market saw a sharp rise after the ruling was announced. The spot trading price of Bitcoin quickly climbed, soaring from just below $26,000 to over $28,100, a surge of more than $2,200. $BTC
This decision is of great significance. If Grayscale's Bitcoin spot ETF is approved, it could become a watershed moment for the cryptocurrency industry, attracting billions of dollars of investment into the cryptocurrency circle. It will become more convenient for traditional capital to enter the cryptocurrency field because investors are no longer limited to the stock market as the only venture capital option.
However, we must also realize that this decision will not take effect immediately. In the short term, the market may experience emotional fluctuations rather than a real trend reversal. Before the market environment changes substantially, we should not chase highs first, and secondly, we can consider opening trend short orders with small positions. The pressure range above the Bitcoin price is between $28,500 and $29,200, and the second wave of Bitcoin adjustment will still be completed. #BTC
In addition to paying attention to market trends, we can also adopt some strategies to welcome the arrival of the bull market.
For investors, the following three strategies can help prepare for the arrival of a bull market:
First, exit in time or adopt a regular investment method. One of the common mistakes made by novice investors is holding on to their coins for too long because they are influenced by the speculative frenzy and think that they can make more money. In order to avoid being caught at the top of the bull market, it is recommended that novices set clear investment goals and understand the various assets in the portfolio. You can set a fixed selling price for each asset to reduce the possibility of losses, because the bull market may end suddenly. In addition, implementing the "average cost method" or regular investment method can also reduce the impact of cryptocurrency volatility, whether in a bull or bear market.
Secondly, avoid investing in meme coins and focus on more mature cryptocurrencies with high market recognition. When choosing cryptocurrencies, pay attention to those that are mature and recognized by the market. It is necessary to subdivide the investment track, such as focusing on currencies in the second-layer solutions or metaverse, and avoid touching meme coins that have almost no practical use.
Finally, find new market narratives and do a good job of risk control. Bitcoin always hits new all-time highs in bull markets. As new market narratives emerge, new cryptocurrencies are worth paying attention to, rather than blindly chasing crypto assets from the previous bull market. In addition, good risk control is also very important. Don't borrow money to invest, don't use leveraged trading, and don't invest more money than you can afford.
In general, although the U.S. Court of Appeals overturned the SEC's decision and created conditions for the listing of Grayscale's Bitcoin spot ETF, this news has injected strong momentum into the market, but we still need to remain cautious and adopt appropriate investment strategies to welcome the arrival of the bull market. Only by reasonable planning and risk control can we get better investment returns in the field of cryptocurrency.
