German sell-off, bear market trap
Key adjustments before the next surge
#Bitcoin
The market has experienced a sharp retracement recently, from a high of 72,000 in early June to 53,000 in early July,
The maximum retracement is 25%, and there is also a 20% retracement based on the current price of 57,000.
The German government's sell-off is an important source of FUD this time. They hold 50,000 bitcoins worth 2.3 billion US dollars,
and they are transferred to CEX in batches for sale.
However, in my opinion, this is a rather funny operation, because the German government has never invested in Bitcoin, but it was confiscated by cracking down on pirated movie websites. The Germans will definitely regret their stupid decision.
The current volume of cryptocurrency is still small, so it is still dominated by news. Once again, K-line is invalid.
So once a bad news comes out, the market's reaction to the news is often more emotional than the news itself.
The selling pressure brought by the CEX market will not change the future upward trend of Bitcoin.
But people's emotions will change. The billions of dollars of selling make them panic and eager to sell their chips.
They may have forgotten that the current market value of Bitcoin exceeds 1 trillion US dollars, and the Germans have only 50,000 and more than 2 billion US dollars.
It's better to sell it. If they don't harvest their chips, the market will not start the next surge.
This is a key adjustment before the rise. This kind of retracement is a bear market trap, which makes speculators leave. The steadfast continue to move forward.
HODL! HODL! HODL!
