Two consecutive days of adjustment have brought the entire market into winter. Currently, there is no sign of a rebound in the short term, either from a technical or fundamental perspective.
Fundamentals: Two major factors are driving the market up. On the one hand, it is due to the impact of the Fed's expectations of a rate cut this year. On the other hand, due to the unstable situation in the Middle East, Iran has launched multiple missiles at Israel. Cash is king in a war situation. The unstable situation in the Middle East and the war between Russia and Ukraine will lead to rising crude oil prices. Crude oil is an important factor in inflation. It is not ruled out that US inflation data will continue to rise in the future. The vicious reaction is that the Fed's interest rate will increase instead of decrease. If this really happens, it will be a disaster.
Technical side: There are also two unfavorable market conditions. One is that both Bitcoin and Ethereum have fallen below the previous lows, indicating that the correction trend is still extending; second, the ETH/BTC exchange rate has fallen below important support, which is extremely unfavorable for Ethereum and altcoins. In the past two days, many altcoins have had a correction of about 30%.
Before the signal of stopping the decline and rebounding appears, don't blindly buy the bottom, otherwise the spot will be trapped.
Message: Don’t be obsessed with market analysis, be obsessed with improving and executing your trading strategies.
