Many people are concerned about whether the cryptocurrency market has bottomed out and whether it will take off in the future. Although there are signs of a rebound, it is not realistic for it to take off completely. Because there are still 8 billion bitcoins in the wallets of Mentougou that have not been sold, and there are still hundreds of millions of bitcoins waiting to be sold in Germany.
Looking at the buying side, the net inflow of ETFs is only about 100 million per day, and sometimes there is even a net outflow. Although the daily trading volume of Binance, the world's largest exchange, is about 1 billion, most of it is offset by buying and selling, and the real net inflow may not even be 100 million. Therefore, the selling pressure of the 10 billion in Mentougou is indeed not small. Before these coins are sold out, it is difficult for the currency circle to usher in a substantial increase.
But don’t be discouraged. There are two very good news in the short term that may bring about a small increase. We will talk about this in detail later.
From another perspective, this is actually good news for those who hoard coins. The Mentougou incident will delay the bull market by one or two months, which gives you more time to hoard coins, and the prices are relatively low. Investing an extra 10,000 yuan per month may turn into an extra 50,000 to 100,000 yuan next year. Why not? However, if you want to buy the bottom in the near future, you must enter the market in batches. You can choose low leverage or spot purchase, and even fixed investment is also a good strategy.
The first good news is that Trump, who is expected to be elected this term, will give a speech at the Bitcoin Conference on July 25, which will undoubtedly have a significant impact on the cryptocurrency circle. Putting aside political factors, his influence with nearly 100 million fans around the world alone may trigger a wave of market conditions. In addition, major media outlets are reporting on his movements every day, and even some domestic self-media are paying attention to his deeds. These publicity will inevitably attract more attention, so the conference on July 25 is worth looking forward to.
Next, let’s take a look at the news worth noting about the copycat:
There is a small currency that everyone can also pay attention to, that is Celo.
Since Tether announced the issuance of USDT on its chain in March, Celo’s TVL (value locked) has soared. Currently, the issuance of USDT has reached 135 million, while Near, which ranks ahead of it, has 180 million, but Near’s total market value is as high as more than 5 billion. In contrast, Celo’s market value is only 400 million, less than 10% of Near’s.
In addition, Ton’s USDT issuance is 570 million, which is 4 times that of Celo, but its total market value is close to 40 billion, which is 100 times that of Celo.
Celo, a little-known public chain, has performed very well in terms of data. It has investments from giants such as A16Z and Coinbase, so it can be said that it has a great background. In short, Celo's data is similar to some old public chains, but its market value is only one-tenth of theirs. Whether it is a value depression or not, you can judge for yourself.
Recently, many fans have asked Xiao Miao, can Pepe coin be bought at the bottom?
In the previous plunge in April, Xiao Miao was very interested in Pepecoin, which basically kept fluctuating and had been analyzed a lot. After each sharp rise, this coin would pull back by about 50%. For example, last year it pulled back by 68% and 50%, and in April it pulled back by 63%. Currently, it has also pulled back by nearly 60%, which is very consistent with the previous pattern. So, even if it is not the bottom now, it is very close.
Next, it may consolidate at the bottom for a few weeks, and then usher in another wave of rise, each increase can reach 3 to 5 times, which is amazing. So this time is similar, you can consider buying some on dips, this is a matter of experience.
In addition, BNB also has three potential positives. The first is the anniversary on July 14, which we have mentioned in the previous issue. You can hold it short-term until that day to see if there is any good news. Another potential positive that many people have overlooked is that Zhao Changpeng is expected to return in August or September, which may lead to a big rise in BNB and the entire cryptocurrency circle.
In addition, due to the bear market, Binance has not launched any new BNB projects for several weeks. When the subsequent launches come, BNB may have a wave of rise. But in the short term, we still need to pay attention to the anniversary celebration on July 14, and consider taking profits on that day. We recommended that everyone buy the dip last Friday, and we also made a small profit.
In the past few days, Ton and Sol, which Xiao Miao recommended, have rebounded a lot. Ton even recovered its losses and returned to the level before the plunge. When the rebound reached its high point on Sunday, Xiao Miao recovered his investment and ran away. I also told you that I avoided the big drop last night, and then bought it back at a low price, and continued to do swing trading.
There is also good news. CPI inflation data will be released at 8:30 pm on Thursday. Although the market predicts that the core CPI will remain at 3.4%, the market expectation of CPI has dropped to a staggering 3.1%, which is a big drop compared with the last time. Therefore, this CPI data is likely to become a turning point in the market. I hope everything goes well!
That’s all for today’s article. We are currently in a bull market, and things are turbulent. We share passwords every day.
