We are now in the monkey market stage between the small bull market and the big bull market.
The currency circle goes through a complete cycle in four years, including one year of bear market, one year of bottoming out, half a year of bull market, half a year of monkey market and one year of bull market. Before a big bull market comes, there will usually be a monkey market for half a year to clean up the floating chips in the market.
This round of calf market started in December 2023 and ended in June 2024, lasting about half a year.
The subsequent monkey market will start in July 2024 and is expected to last until the end of the year. The cleaning effect of the Monkey Market will determine its end time. If the cleaning is thorough, the Monkey Market may end early, otherwise, it will continue until the end of the year.
A striking feature of this round of bull market is that Bitcoin has risen too much and too fast, far exceeding expectations.
This is mainly due to the excessive amount of funds in spot ETFs, which has promoted the rise of Bitcoin. Compared with the bull market in 2021, the warm-up phase of the calf market before this round of bull market was more enthusiastic, even exceeding the high point of the previous bull market.
Starting from May 2024, Bitcoin has maintained high volatility. At this stage, most investors have realized that the bull market is coming and expect the increase to reach more than 100,000 US dollars, and altcoins can also earn dozens of times the income. However, the market is often contrary to investors' expectations, and the market begins to fall and correct to clean up the market. Because if there is no buying from retail investors, it will be difficult for the dealer to ship.
We saw that in June 2024, Bitcoin fluctuated in a wide range and altcoins continued to be shipped. Don't imagine that smart money will pull the market at a high level, they will only sell the market at a high level. Similarly, if the dealers don't pick up cheap chips at low prices, they won't start a big bull market. Because the dog dealers are premeditated, they will use Bitcoin's small new high and the halving event to ship.
Now, Bitcoin has fallen below $60,000, reaching as low as $572.38 million, while most altcoins have fallen below the lowest point of the bear market. The currency market is at the bottom of the first wave of decline in the monkey market. After a rebound, there will be a second wave of decline, and after another rebound, there will be a third wave of decline. Although the market outlook may continue to fall, many potential currencies have now fallen very cheap and are worth lurking for a long time.
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