Yesterday's market crash left many friends confused. Many people were asking why the market fell. It's too complicated to explain one by one, so I wrote an article "Massacre! Bitcoin plunges to 49,000, "hitting the biggest drop in half a year"" to explain in detail what caused this big drop. I am also honored that the article I published yesterday was ranked first on Binance's hot list. Your attention is the motivation for me to write articles.

Yesterday the market was in mourning, but today the market is full of jubilation. But no one noticed one thing:

A 20 percent drop requires a 25 percent increase
A 30 percent drop requires a 43 percent increase
A 40 percent drop requires a 67 percent increase
A 50 percent drop requires a 100 percent increase
A 60 percent drop requires a 15 percent increase

So how much has today's oversold rebound rebounded? Objectively speaking, except for a few strong currencies, there are actually very few

So what is our view on the subsequent market?

BTC and ETH entered the oversold range at the hourly and 4-hour levels, and the daily level entered the oversold range

The interest rate cut is basically confirmed. The short-term cycle is affected by the non-agricultural data, and there is still a possibility of a second correction. There was a reminder to enter a part of the position yesterday. If you haven't entered yet, you can continue to build a position after the correction, and wait for the confirmation signal for the rest. The long cycle continues to be bullish

I will talk about Ethereum separately. Pay attention to the subsequent selling pressure after the ETF is approved. Just pay attention to the changes in Grayscale's holdings.

The plain version for those who don’t understand: If you have positions, take some offensive positions, and keep the rest for defense. In the short term, we still see a correction. The general direction is still bullish. This wave of correction prices is basically in the 46,000-47,000 range, which is basically the bottom (personal opinion, for reference only)

Why will the bull market restart in September?

Three years ago, the price of Bitcoin was 55,000, and the market was in an extremely greedy mode. Everyone liked to greedily buy at high prices.

Now the bitcoin price is 55,000, the market is in extreme fear mode. Everyone is selling like crazy.

The market is like a series of curves that are always intersecting. They converge at different times, but the environment is different, and the psychology faced in the end is also different.

The market lows have always been driven by various negative factors. Then when everyone is pessimistic, a new reversal will come at lightning speed. This is the real opportunity!

Factors to watch for in September's bull market restart

Expectations of the Fed’s rate cut: From the perspective of rate cuts, once the non-agricultural data is released, the possibility of a rate cut in September will soar to 99%. At that time, a lot of liquidity will be injected into the market, which can solve the pain point of poor liquidity in the existing currency circle.

ETF impact: Bitcoin spot ETF experienced a bull run after its approval, so we can also expect Ethereum ETF to follow a similar trend

ETF price support: With the current dominance of the United States in the Bitcoin market, the price of Bitcoin spot ETFs will be supported by institutional investors and will be difficult to fall below the average price, thus providing support for the price bottom.

BlackRock and Fidelity continue to increase their holdings: None of the world's largest hedge funds, including BlackRock and Fidelity, sold off their holdings. They even increased their holdings. So can you see that? The only ones who panic-sold were 90% of retail investors.

Historical similarities: The current market sentiment and chart performance are very similar to those during the 2020 epidemic, when the market also rebounded rapidly after a sharp drop and then entered a bull market cycle

Low market sentiment: Market lows have always been created by various negative factors, and then when everyone is pessimistic, a new reversal will come at lightning speed. This is the real opportunity!

The above is the analysis and summary of why this bull market will restart in September. I hope these objective factors can provide some ideas for your operations in the market.

The market is ruthless, but we are all on the same page. If you agree with this analysis, please follow, like, and share this article with your friends in the cryptocurrency circle so that they can also grasp the market pulse at this critical moment!

Thank you for reading, and we look forward to witnessing the next market opportunities together!