Today is December 10, 2024, Tuesday. Good evening, brothers. Last night, I had a feeling that the market was going to experience a pullback, and I didn't expect it to come so swiftly. After the U.S. stock market closed, the manipulators began to harvest. Bitcoin dropped to around $94,000, Ethereum fell to about $3,500, and most altcoins saw declines of around 30%. I must say, when altcoins are profitable, they are indeed very eye-catching, but we must also consider the volatility of altcoins. A slight misstep in this volatility could result in losing all the profits from the previous month in just one day.
Although most altcoins have seen substantial pullbacks in this wave, fortunately, the losses in our VIP group have not been significant. The doubling tokens that we positioned for last month have basically returned the principal, and those with profits exceeding 20% have largely been exited beforehand. So, this wave of pullback has mostly just returned prior profits, and fortunately, there hasn't been a significant loss of principal. As long as a situation like March 12 doesn't happen, the impact should not be too large.
From historical experience, in the days following a big drop, except for the March 12 incident, there is usually a relative safe period. Therefore, during the upcoming rebound, if you didn't take profits when you reached your profit target, you can consider taking some profits. After a significant drop, there will be an automatic rebound phase. This phase is partly due to bottom fishing and partly due to short liquidations. However, the sustainability may not be long. So, if a rebound happens next, don't mistakenly think it's the beginning of a second wave; instead, seize this opportunity to reduce your profitable positions, or if your positions are heavy, try to reduce some.
Next are the partners who want to buy at the bottom. Personally, I suggest it's best to enter on the left side. If you want to be more stable and have a lower requirement for price increase, you can prioritize choosing Ethereum, Bitcoin, and BNB. The fluctuations of other altcoins will also be larger, and the risks compared to these are higher; however, the corresponding returns are also much higher. So, if you want to buy at a very low price now, I personally believe that entering on the left side is relatively more stable. On the right side, you can wait until Ethereum stabilizes above $3800, then buy high-quality Ethereum ecosystem tokens like ENS, ENA, LDO, UNI, and AAVE, which would be safer.
From the data on contract liquidations, this wave of decline is clearly aimed at altcoins. I didn't expect that after Bitcoin's sharp rise last Friday, altcoins would come today. Many people probably anticipated a large drop in the market, but they didn't expect it would come so suddenly. However, that's how the market works; the manipulators might have predicted everyone's predictions, so before everyone could react, they made their move first. But regardless, as I mentioned yesterday, there will definitely be a second wave, which is the speculation around Ethereum's upgrade next year. Therefore, the focus of the next positioning remains on Ethereum and its series.
Everyone shouldn't panic excessively just because of a drop. Hold on to the cash you have and reduce your positions when given a rebound opportunity. The level of panic on August 5 was actually more terrifying than this. Therefore, after the current brief adjustment, there will still be a rebound market. Just remember to reduce your positions when necessary; money is not made in a day. However, if your positions are too heavy, a significant pullback can be quite painful.
November is generally a rising market, but knowing when to take profits at highs is key, and this is very important. The doubling tokens that we, the VIP group, had previously positioned for have basically already returned the principal. Most of what remains is profit, so even if extreme market conditions occur, we can face them calmly. This is what I've always advocated: always control your greed. Even if you're very confident, don't go all in, because no one knows what kind of situation the market will present; anything is possible! So, for partners who want to buy at the bottom on the left side, I also suggest controlling your positions! Don't blindly go all in!
Overall, Ethereum below $3600 can be a good entry point. Below $3500 is a position with very high cost-performance. Currently, my focus is mainly on arranging Ethereum series tokens. For altcoins, I am focusing on quality tokens like ENA, OP, ENS, LDO, AAVE, UNI, and LQTY. If you pursue stability, ETH, BNB, SOL, Bitcoin, etc., are the way to go.
Today's article ends here. See you next time!