I believe many people were shocked yesterday, October 9, the second trading day after the National Day holiday. The three major A-share indices opened lower, with the Shanghai Composite Index opening 1.79% lower, the Shenzhen Component Index opening 2.92% lower, and the ChiNext Index opening 4.84% lower. Nearly 5,000 stocks fell in the market. #大A香还是大饼香
Many people who entered the market early were delighted. On the 8th, the three major A-share indexes opened higher by more than 10%. The harvest was great. More than 10 stocks such as Kweichow Moutai, CATL, Ping An of China, Vanke A, and China Merchants Bank had turnover exceeding 10 billion yuan. The semiconductor sector collectively set off a "20cm" daily limit wave. It can be said that it is difficult not to make a fortune before the holiday.
But many people are worried, and there are two groups of people. On the one hand, there are those who were slow to enter the market, and even couldn't open an account. On the 8th, they slapped their thighs, on the 9th, they were glad that they didn't buy, and even laughed at those who didn't run away earlier. On the other hand, there are those who are deeply trapped and can't help themselves.
Let's sort out the market news. The financial management department has given window guidance: bank credit funds are strictly prohibited from entering the stock market in violation of regulations. To a certain extent, irrationality has been suppressed. The stock market is indeed too crazy. It is better to cool down a bit. Otherwise, who can withstand this crazy bull market?
In addition, A-shares suffered a "backstab"! Hong Kong stocks and FTSE A50 plunged sharply, largely due to the obvious weakening of the Fed's interest rate cut expectations and the recent huge increase in Chinese assets.
I personally think that no matter what the reason, we should slow down. This kind of madness will not last long. Yesterday, the A-share market started to rise in a wrong way. The main funds continued to flow out, but there was a steady flow of funds. It seems that all the funds in the market want to sell their chips to the new investors who came to take over today. So, will they come? #
From a simple analysis, a large number of institutions and investors missed out on the initial stage of this bull market. In addition, the closure of the stock market during the National Day holiday also gave foreign investors an opportunity to collect chips. Who said that the stock market is not as open as the cryptocurrency market 24 hours a day?
In addition, in February this year, it took the Shanghai Composite Index three and a half months to rise from 2,640 points to 3,150 points.
This time, it only took 6 days for the Shanghai Composite Index to rise from 2748 points to 3476 points!
In ancient times, one day in the cryptocurrency world equals ten years in the human world. Now, one day in the stock market equals ten years in the human world.
Bitcoin is up 40% year-to-date and despite a seasonally weak third quarter, it remains the best performing asset so far this year.
Bitcoin also bucked the trend and rose 10% in a bearish September. Other assets such as precious metals and certain stock sectors rose relative to BTC, but they took advantage of the central bank's strategy as a springboard. Stocks related to the Chinese market fell on Tuesday (yesterday) after China decided to postpone the introduction of new stimulus measures aimed at supporting the economy. The economic downturn is a potential opportunity for capital to be reallocated to the cryptocurrency market. QCP Capital analysts believe that capital will be reallocated to the cryptocurrency market, reflecting the industry's growing maturity as an alternative risk asset.
I personally think that funds will eventually return to BTC, and the bull market in the cryptocurrency circle is still there, just waiting for liquidity to return
In April this year, Hong Kong approved the first Bitcoin spot ETF. Hong Kong is striving to become a cryptocurrency center comparable to its global competitors Dubai and Singapore. In addition, China has prepared 800 billion yuan of funds to enter the stock market. I believe that many stockholders or institutions will definitely invest in some cryptocurrencies and diversify their investments after making profits. Of course, Bitcoin will also be the first choice of cryptocurrency!
Secondly, the bull market in the cryptocurrency world still exists.
1. Factors that may drive the cryptocurrency market up in the short term: October's "Uptober" effect, the potential impact of the Fed's rate cuts, the approval of Bitcoin ETF options, and Ethereum Pectra upgrades.
The first is that October tends to be a bullish month for cryptocurrencies, with over 70% of Octobers bringing positive returns for Bitcoin.
Secondly, the Fed’s rate-cutting cycle has not yet affected the cryptocurrency market value. Since the U.S. rate cuts, cryptocurrency prices have “risen” due to the rate cuts, and the market may be waiting for more lasting stability before making a decisive shift.
Bitcoin ETF options may enhance market liquidity. I have said before that once liquidity is established, it will accelerate the return of funds entering the stock market, enhance liquidity and attract new participants to the market. This will form a positive cycle that strengthens the market structure and makes it easier for institutional investors to obtain digital assets.#CanaryCapital提交XRPETF申请
Finally, the $16.5 billion bankruptcy plan of FTX, which has been followed by the cryptocurrency circle for many years, has finally been approved. In the future, small creditors with claims of less than $50,000 are expected to start receiving compensation before the end of 2024, while creditors with larger claims may have to wait until the first or second quarter of 2025 to receive compensation.#FTX赔偿计划
2. From a technical perspective, the current long and short forces of Bitcoin between $61,000 and $64,000 are fighting, and Bitcoin is facing a liquidation of about $1.7 billion. We can foresee that after this wave of liquidation, Bitcoin may see a period of rising prices.
3. Judging from the subsequent general election, no matter who is elected, it will be beneficial to the crypto market.
There is less than a month left before the US presidential election. Judging from the current poll data, Trump is temporarily in the lead. This is inseparable from the support of Musk, the consortium. Compared with Harris, who has changed from being neutral in the past to supporting him in the later period, he is not as good as Trump in understanding cryptocurrencies.
4. MEME tokens return strongly, and the alt season is hot
Bitcoin (BTC) followed the fluctuations of the US stock market, and the market entered the "copycat season", with MEME (meme coin) becoming the focus. It can be seen that MEME coins such as NEIRO, SPX, FWOG and MEW have risen sharply. NEIRO is the leader of this round of gains, and the exchange supports its rise behind the scenes. New public chains SUI and SAGA have also begun to rise, especially the many memes in the SUI ecosystem have formed an outbreak, and it seems to have the potential to replace the SOL public chain. The emerging currencies on the chain have also become crazy. The on-chain dog coin MOODENG (based on Ethereum) has skyrocketed dozens of times in a week, attracting widespread attention from the market. At the same time, Hippopotamus received a response from Ethereum founder Vitalik Buterin after doing charity activities. Its market value on the ETH chain has reached 100 million US dollars, close to the original Hippopotamus on the SOL chain. #
So the bull market in the cryptocurrency world is still going on. The rise of US stocks and A-shares actually represents the beginning of a new global cycle. The Fed’s interest rate cut may not make any difference in the short term, but it means that money will start to flow from banks to the global financial market, and the capital outflow is gradual. The stock market is very limited, and each country plays its own game. The cryptocurrency world is different. The blockchain industry belongs to the global market, and the development of blockchain is still in the early stage of infrastructure construction.
Although A-shares have been rising well in the past few days, they will also pull back. The same is true for the cryptocurrency market. What do you think the pullbacks in the past six months are for? Do you think the main players have nothing to do? I personally think that the market has begun to accelerate, which means that the market is about to change! $BTC
The next thing that will explode in the financial market is: the cryptocurrency circle