As we enter a cycle of interest rate cuts, what is the best investment strategy at present?
The short-term strategy is more conservative. There is no catalyst before the election. The overall market may have a clear direction after the interest rate cut in November and the election. Beta assets mainly depend on the election; there is no obvious improvement trend in the liquidity of the altcoin market, and the structural problems of the altcoins have not been solved; the core promoters of Memecoin are also facing some problems, and there may be fewer high-quality opportunities than before, and subsequent economic data and elections are needed to bring some breakthroughs.
Liquidity transmission is a process, and the funds brought by the interest rate cut will not enter the crypto market on a large scale at the first time. On the one hand, compared with the traditional financial market, the scale of the crypto market is still relatively small, the capital capacity is limited, and it is more risky. It takes time for the interest rate cut to take effect, and after it takes effect, it will spill over into the larger market, and ultimately leave the crypto market.
In this case, if BTC cannot achieve a breakthrough, Alts will be even less optimistic. Therefore, despite the continued rise of BTC.D, the BTC-based strategy still has configuration significance. On this basis, investing small-scale funds in some hot tracks (such as Meme) is a better combination.
The long-term interest rate cut process will gradually bring liquidity back to the risky market. The best investment strategy should be to remain rational and calm and avoid over-selling valuable assets.
Since falling below the $60,000 mark, Bitcoin has rebounded strongly, but it has been difficult to maintain at a higher level. It has been blocked in the $63,000 to $64,000 range many times and has been rubbing against the $65,000 level so far.
The current market tendency to buy when prices fall and sell when prices rebound means that Bitcoin may form a continuously narrowing range of fluctuations in the short term.
As Bitcoin falls into a sideways trend, some altcoins may have better opportunities.
ABOUT
On October 11, Sui ($SUI) bounced off the 20-day exponential moving average EMA ($1.82) and surged above the $2.18 resistance level the next day.
The bears will attempt to pull the price back and sustain it below $2.18 to trap the aggressive bulls. If the bears succeed, $SUI may pull back to the 20-day EMA, which is a critical support to keep a close eye on. A break below this may trigger a deeper correction with the next support at $1.60.
If the $SUI closes above $2.18, it means that the bulls are trying to turn this point into a new support, which is expected to start the next uptrend with a target price of $2.50 and may challenge $3 afterwards.
At the time of writing, $SUI is trading at $2.24, down approximately 4.8% on the day.
APT
Aptos ($APT) has recently rebounded higher but is facing selling pressure near the $10.50 resistance level, which means bears are still active at high levels. Bulls must sustain the price above $9.50 to increase the possibility of a breakout above $10.50. If bulls succeed, $APT is likely to accelerate its climb to $14.50 and might see some short-term profit-taking.
If $APT breaks below $9.50, it could drop to the 20-day EMA ($8.48). If it rebounds strongly from the 20-day EMA, it could challenge above $10.50 again, but a break below it would indicate that the bears are trying to make a comeback.
At the time of writing, $APT is trading at $10.14, down about 0.5% on the day.
WIF
From the daily trend, $WIF is being blocked near $2.89, but this point may be broken. If it can be maintained above $2.89, $WIF may soar to $3.58 and eventually $4.
If $WIF pulls back, the key level to watch is the 20-day EMA ($2.34). A breakout and close below it will be the first sign that bulls are eager to book profits, followed by a plunge to the 50-day SMA ($1.90).
At the time of writing, $WIF is trading at $2.635, down about 4.5% on the day.
