The Spring Festival is approaching, wishing everyone a prosperous year ahead.
As the Spring Festival draws near, the Bitcoin market is also facing its 'small test' with increased price volatility. Investors are busy cashing out, but expectations for a bull market are still rising. This is a contest between risk and reward, where we must pursue maximum profits while being vigilant about potential losses to protect our investment gains.
Did you know? Elon Musk's companies have also joined the 'hoarding army' of Bitcoin. Tesla and SpaceX hold Bitcoin worth approximately 1.17 billion and 842 million dollars respectively, totaling over 2 billion dollars. The average purchase price of these Bitcoins was only 34,980 dollars each, and so far they have brought about 1.3 billion dollars in profit to Musk's companies, an increase of up to 186%!
Interpretation of Recent Bitcoin Trends
Recently, the 'big players' in the Bitcoin market have been making a fortune, but the flow of funds is not stable. It is expected that the market will be relatively calm this weekend, with little volatility.
Bitcoin is currently in a sensitive position, with a resistance level around 101,500 dollars above, and two support levels below, at approximately 97,500 dollars and 95,000 dollars.
Analysis of Ethereum and Other Small Cryptocurrencies
The price of Ethereum is getting closer to the 4,000 dollar mark; is this the frenzy of a bull market or the last wave of a fish tail trend?
Ethereum has risen to around the expected 4,000 dollars, even breaking through to a high of 4,100 dollars. However, the market needs a slight adjustment; the pressure for this week has already emerged, and it might pull back to the support level near 3,890 dollars. At the same time, there is also some resistance around 4,025 dollars.
In the short term, the increase in Ethereum has been quite substantial, and the pressure for further gains is significant. We need to pay attention to the support levels around 3,900 dollars and 3,850 dollars, as well as the resistance levels around 4,030-4,010 dollars. If the price touches these resistance levels, it may be wise to consider reducing positions or shorting.
As the Spring Festival approaches, everyone must remember the importance of risk awareness, ensuring that there are enough funds for the New Year. At the same time, when participating in contracts and leveraged trading, it is crucial to control risk and protect our principal.
