From 6 am yesterday to 6 am this morning, Bitcoin (BTC) soared from a low of $54,600 to a high of $62,700 in just 24 hours, an increase of 15%, with a fluctuation range of $8,000. From the extreme drop of $49,000 on August 5, Bitcoin rebounded strongly to $61,000 in just over three days, with a total increase of nearly 25%.

The purpose of this rapid rise is obvious, which is to liquidate high-multiple short orders. The dealer's strategy is very clear. First, it liquidated more than 3 times the long orders when the market fell sharply on Monday, and then quickly rebounded and liquidated those traders who placed short orders at various pressure points again. This is undoubtedly a precise attack on technical analysts. Just imagine, how many times a year can there be such a market opportunity to rise by 25% in three days? And how many times in a person's investment career can he seize such an opportunity with a full position? Therefore, those who advise others to cut losses during a sharp drop are either stupid or bad.

If a novice investor follows the advice to sell at a loss in panic and sells at $49,000, then just three days later, when he buys back at $61,000, he will find that he has lost nearly 1/5 of his Bitcoin position. After selling at a loss, only 4 BTC are left out of 5 BTC. This loss happened in just three days.

Loss of 1 BTC in 3 days.

If he does not buy back, his loss will increase as BTC continues to rise. When BTC rises to 98k, he will lose half of his BTC. But even if BTC drops to 49k again, he may still not dare to buy back, because at that time, there will definitely be more voices telling him that BTC will continue to fall, 30k, 20k,...

The final outcome is likely to be that he loses his position and BTC forever.

Back to today’s analysis:

From the K-line, the 1-hour level is in a correction, the 4-hour and 12-hour levels are in an upward trend, and the daily line entered an upward trend today. The operation suggestion is to go long on the correction, and shorting is not recommended unless the 12-hour level enters a downward trend. The intraday pressure level is 63,000, and the support level is 59,300.

The recent market situation is simply hell for swing traders

1. It fell and there was no rebound, with a drop of 20%-30%.

2. The price goes up without any pullback, and the increase is 20%-30%

It is the familiar market situation where the price has not changed but the position has disappeared. In the past two months, there have been four waves of unilateral market, each wave has a fluctuation of 20%+. In the middle, there will be an adjustment of about 5 points at the 4-hour level, but no shock has been formed; causing most people to be in a loss state: "I went short at the top and long at the bottom, but I followed the shock idea so I stopped profit too early. In the end, I didn't get out of a wave of shock, and all became trends, which were constantly worn out;"

At present, the trend of Bitcoin has deviated from the trend that everyone is familiar with in the past. The market is being smashed and pulled up very quickly. It has not been pulled back where it should be, and it has not been fluctuating where it should be. When it deviates from the cognitive framework again and again, we need to calm down.

When doing trading, we say that we should trust our own eyes rather than the images in our minds.

Whether it was the peak from 54,000 on July 8 or the sudden increase yesterday, Bitcoin did not bring obvious wealth creation effect to the market. The copycats are still sluggish, and the increase of some copycats yesterday was not as good as Bitcoin. Without the locomotive effect, it is hard to say that the market is "bullish again".

Look at the facts calmly and objectively. Every time the bitcoin price rises/slumps due to news, it seems that nothing is left except a bunch of liquidation data.

I think the real Niu Hui can only look at the following two scenarios:

- Bitcoin broke through 70,000 and then set a new high, completely moving out of the structural market
- Dabing can lead the crazy performance of Shanzhai and return to the logic we are familiar with before

In addition, blindly chasing long/bottom-fishing will only result in being buried. Try again and again, make mistakes again and again. A real bull market will not be bad for this little increase. Repeatedly being killed and being trapped will seriously affect your mentality. It is better to watch the show first and see how the pie will go.

The cryptocurrency market has been on a rollercoaster ride lately, with sudden market drops leaving investors prepared for the worst, only to see prices quickly rebound in a notable event. Major tokens such as BTC, Solana, XRP, and BNB are leading the way, demonstrating the resilience and strength of the crypto market.

Here’s how these top cryptocurrencies rebounded and what’s driving their recovery!

Bitcoin (BTC)

Bitcoin, the crown jewel of the crypto market, has faced a sharp drop recently, which has led many to question the stability of the market. However, in classic Bitcoin fashion, it has made a quick comeback, rebounding over $5,100 in 24 hours. Strong U.S. labor market data has boosted the economic recovery, easing concerns about a looming recession and boosting investor confidence.

The price surge was further supported by the liquidation of short positions, adding momentum to the uptrend. Meanwhile, Bitcoin whales — large investors who hold large amounts of the asset — took advantage of the dip to buy more, reinforcing the belief that Bitcoin’s long-term prospects remain strong.

Solana（SUN）

Solana is another major player in the crypto space that was not immune to the recent downturn. However, it didn’t take long for Solana to regain its footing. Spurred by Brazil’s approval of the first spot Solana ETF, Solana’s price surged 24% after the drop.

This landmark decision has generated significant institutional interest, solidifying Solana’s position as a leading blockchain platform. The rapid recovery also highlights Solana’s growing competitiveness relative to Ethereum. With its low transaction fees and user-friendly network, Solana continues to attract both retail and institutional investors, positioning itself as a key contender in the ongoing cryptocurrency rally.

Ripple（XRP）

Strong Rally Amid Whale Accumulation XRP has experienced a similarly dramatic turnaround. After hitting weekly lows, XRP has rebounded an impressive 42%. This rapid recovery was driven by whale accumulation as large holders snapped up XRP during the dip.

XRP’s ability to recover quickly despite ongoing regulatory challenges highlights its resilience and continued investor confidence. Rising interest in XRP is also reflected in increased chatter on social media platforms, suggesting the token is poised for further gains as it approaches key resistance levels.

Binance Coin (BNB)

Strong Fundamentals BNB Chain’s native token, BNB, has also seen a sharp turnaround, rising 6% and breaking through the key $500 resistance level on August 8. Although BNB faced a sharp correction earlier this month, it has outperformed many altcoins, falling only 1% in the past 30 days, while the entire altcoin market is down 7%.

The recovery in BNB prices has been driven by improving macroeconomic conditions, with better-than-expected U.S. employment data boosting investor sentiment. In addition, BNB Chain has seen a surge in on-chain activity, with the number of decentralized applications surpassing that of Ethereum and Polygon. While BNB's slower growth in total locked value (TVL) compared to its competitors may raise some concerns, its strong network activity supports recent price gains, so BNB is unlikely to fall below the $500 mark.

Other major coins

While BTC, Solana, XRP, and BNB have been at the forefront of the recovery, the broader market has also shown resilience. Ethereum has managed to hold its ground despite the competition. Meanwhile, other altcoins such as Cardano (ADA) and Polygon (MATIC) have also rebounded, demonstrating the strength and adaptability of the entire crypto market.