Recently, Bitcoin broke through its historical price level, first surpassing the $100,000 mark and briefly reaching $104,000, before quickly retracting to $90,000. This retracement resulted in a large number of forced liquidations, with the liquidation amount reaching a new high since the FTX incident. The crypto market has not experienced such a large-scale liquidation in a long time, highlighting the market's volatility and risks.
Currently, the Bitcoin price is in a consolidation range, and market sentiment is relatively cautious. Technically, if it cannot maintain above $98,000 on the daily chart, the price may further retrace. At this point, investors might consider adopting a volatility trading strategy, buying low and selling high, and focusing on weak coins.
Macro Market Dynamics
ETF Inflows
Yesterday, ETFs continued to flow into Bitcoin, with single-day increases of over 7,000 BTC. The inflow of ETF funds remains stable, indicating that the market's long-term investment demand for Bitcoin has not been significantly affected. Currently, ETFs are not a major factor in price declines.
Cryptocurrency ETF Approval Status
According to informed sources, the SEC has rejected applications for two Solana spot ETFs and may suspend the approval of other cryptocurrency ETFs. This news has led to lowered market expectations for cryptocurrency ETFs, which may exert some pressure on coins like XRP and SOL.
Grayscale Fund Outflows
Grayscale Fund withdrew 1,500 Bitcoins yesterday. Despite a large supply in the market, the continued outflows from Grayscale may create downward pressure on prices in the short term. Thus, investors should be cautious when chasing prices at high levels.
Non-Farm Data and Market Volatility
Tonight, the U.S. will announce the unemployment rate and non-farm employment data for November. Given the market has already experienced significant volatility, it is expected that the non-farm data will not trigger a new significant drop, but may instead bring some rebounds. However, if the data is negative, it could indicate that the Federal Reserve will not cut interest rates in December, increasing market risk sentiment and further amplifying bearish sentiment.
Market Trends and Sector Hotspots
Rise of the AI Sector
Currently, AI-related projects and AI+Meme conceptual coins have attracted market funds. In the past 24 hours, AI projects have generally performed well. With the frequent live activities of OpenAI, the hype in the AI field remains strong. Investors can focus on the continuous upward momentum of this sector.
Potential of RWA Sector
Asset tokenization (RWA) is becoming a market focus, especially against the backdrop of the accelerating digitalization of the global economy, the demand for real asset tokenization will continue to grow. Such projects have long-term growth potential, and investors may consider timely positioning.
Opportunities in Meme Coins
Meme coins remain one of the most attractive tracks in the altcoin market. As the Bitcoin siphoning effect gradually fades, the market's focus is expected to shift towards meme coins, especially when market sentiment is high, these coins often become catalysts for price increases. Investors should pay attention to projects with strong community support and sustained narrative capabilities.
Analysis of Popular Projects
PNut
PNut coin is not yet listed on Coinbase, but it has a high consensus in the U.S. market, particularly in the context related to Trump's election victory, this coin is expected to see a surge in the future. Considering its significant pullback, if the price further dips, it may be an opportunity for low-position positioning.
AVAX
AVAX has an important upgrade event, with the AVAX 9000 mainnet upgrade scheduled for December 16, which will be the largest technological innovation in AVAX's history. This upgrade will support developers in building expansion chains based on the mainnet, expanding the AVAX ecosystem. With technological advancements, AVAX's potential is worth paying attention to, especially as it may occupy a place in the next bull market.
SUI
The SUI blockchain is known for its high performance and low latency, making it particularly suitable for micropayments and microtransactions. As the SUI ecosystem gradually develops, its growth potential in the DeFi and decentralized exchange (DEX) fields is enormous. However, due to its large supply, which might exert downward pressure on prices, it is advisable to operate flexibly in the short term and avoid long-term holdings.
HBAR
HBAR has a significant pullback and is currently at a low position. Despite its large market cap and partnerships with projects like $ADA and $XRP, as well as providing solutions to multiple industries through hashgraph technology, HBAR is still undervalued by the market. If market sentiment improves, its potential should not be underestimated.
