As the dust settles on ETH's ETF, various speculations in the market are also mixed.
Some people see long-term benefits, while others are pessimistic about short-term benefits. However, no matter which view you take, the final guideline should be based on your wallet. You cannot let the news be used for your own benefit. For those who make profits in trading, no matter how good or bad the news is, it is meaningless. Therefore, from my investment perspective, I need to unravel the mystery, extract the key points, and apply them to the subsequent market conditions that have not yet occurred.
ETFs are not new. Looking at the Bitcoin ETF incident, it is good news for both Ethereum and the cryptocurrency community. So, as investors, we just need to wait patiently for the flowers to bloom.
Of course, I am not calling on everyone to go all in on Ethereum. Even if it is good news, it does not mean that the market will rise immediately. Due to the high price of ETH, the funds invested by ordinary people may still bring limited returns. Therefore, it is wise to choose some currencies with more potential and relatively controllable risks.
I will not recommend specific currency choices, because everyone's ability to resist risks and time periods are different, so I will only give some suggestions on some sectors. It is best to make your own choices based on technical and fundamental factors.
Since February this year, I have always been optimistic about the L2 sector, because this series is the core competitiveness that truly allows blockchain technology to take off and enter thousands of families. Only when L2 is implemented, there will be a sea of stars in the currency circle. Otherwise, no matter how good the publicity is, it will only be a bubble.
Many people are optimistic about hot tracks such as meme and inscriptions. My personal opinion is that it is just hype. It is just for the wealth effect, to make a small number of people rich, and most people fall into the trap. This short-term effect is just a way to attract traffic to the cryptocurrency market. It is a flash in the pan. This wave of market is alive, and the next wave may not exist. Countless people are trapped and are destined to never have a chance to get out of it. Therefore, if you are a truly mature investor, it is best to play a little and don’t go all in. It is best not to play at all because the money earned by luck will eventually be lost by strength. Maybe not now, but it is inevitable in one or two years. Just like the difi and animal coins in the last bull market, they were in great glory, but now many coins have fallen in the bear market.
Looking at the past market, basically every time a hot spot appears, there will be a leading stock that rises more than ten times. When most people plant this seed, they use it as a standard for escaping the top, and will not clear their positions if it does not rise by 10 times.
But there are dozens or hundreds of coins in a track, but why is there only one leader? If you don’t buy the leading coin, you should lower your psychological standards and don’t think that all coins will collectively skyrocket because the sector is strong. The cryptocurrency circle is not a charity organization. How is it possible that everyone makes money but the main player loses money?
To escape the top, you must combine Bitcoin and the leading sector. If you don’t understand the trend of Bitcoin and the leading currency, don’t expect to make a lot of money.
So it is the same if you want to invest in L2 sector currencies. If you don’t understand the trend of Ethereum, I advise you not to play, because your luck will not always be so good. Losing once is enough to go back to the pre-liberation era.
I am optimistic about the subsequent market trend, because the currencies I chose are from those I have carefully selected and are in line with the development trend of blockchain in 2024, so I dare to hold firmly.
