#加密市场反弹
Yesterday's market review: Everyone experienced the first significant plunge since this bull market. Unlike the declines on the 6th and 10th, yesterday's drop reached investors' psychological limits in both time and magnitude, with ETH's maximum drop exceeding 20% in just one day. Coupled with the plummeting altcoins, it clearly triggered a wave of panic selling. Buying at any time during the day felt like buying halfway up the mountain; even at 3100, people feared a sudden crash to 2800, and at 93000, there were fears of a sudden drop below 90000 when trying to buy Bitcoin.
The real turning point comes from the PCE data and core PCE data released by the US at 9:30 PM, which fell short of expectations. The market started to increase expectations for a continued rate cut by the Federal Reserve in March 2025. After the US stock market opened, it rebounded across the board, especially MicroStrategy, which at one point rose over 10%.
This sharp drop has thoroughly washed out leveraged retail investors; it will be challenging to see such a significant drop again in the short term. The Christmas discount is truly a bargain, and it will be hard to see such low prices again soon. I wonder if you all managed to bottom out? You wouldn't want to cut losses, right?
As a player in this circle, the cryptocurrency market is now highly correlated with the US stock market. Thus, we have to learn more about US economic data and stock market trends. In the past, you could just hold on in the cryptocurrency market; during a bull market, it would always spill over to your altcoins. Now, the market rotates quickly, the pace is faster, and we need to pay more attention to US economic data and the Federal Reserve's actions.
How will the market trend next?
Firstly, a phase bottom has basically formed; we are currently experiencing an oversold rebound. I believe Bitcoin will rise above 100,000. Tonight, the market will have a strong V-shaped rebound and then break new highs. Do not cut losses on the spot you hold; those who want to add to their positions can do so appropriately.
In the process of the cryptocurrency market rebound from last night to this morning, Bitcoin's market share has continuously declined after reaching a high of 59.92% yesterday, currently at 58.5%. Funds are starting to return to Ethereum and altcoins. Currently, ETH approaching 3600 may face some resistance, and the second resistance is near 4000.
Then, in the coming days, there will be a slow decline, followed by a low-level second bottom. This is a normal trend, so those who bottomed out can reduce their positions, while those who haven't can also gradually sell some. Of course, the bull market is still ongoing, and the second bottom is also based on experience judgment.
Review of yesterday's buying points.
After the interest rate cut expectations were released at 9:30, I chose to bottom out ETH at 3250, PEPE at 1600, and Doge at 0.295.
Because these are primarily representative of altcoins, and they have already fallen out of value. It took only 3 days for ETH to drop from 4100 to 3100, and for PEPE to fall from 2800 to 1450, and Doge from 0.48 to 0.245, nearly halving. These are safe targets for bottom-fishing, and the trading volume is substantial. The greater the decline, the stronger the rebound will be compared to Bitcoin.
Regarding future selling points.
If you already hold quality altcoins at low costs, you can hold them a bit longer as long as you have a cost advantage. If you're worried, you can set a stop-loss at the original price, but if the rebound is stronger, the gains will be significant.
Pay more attention to which coins Grayscale is accumulating; anticipate accordingly. For example, Zen has been continuously bought by Grayscale since yesterday. ZEN is a coin I added to my watchlist in April this year.
The logic is as follows:
1. Originally in the privacy coin sector, it actively transitioned to the popular modular public chain sector in the first half of the year due to regulatory reasons.
2. Previously in the observation label on Binance, it could be delisted at any time; it is now removed.
3. Grayscale concept coins. The total circulation is only 15.76 million. Grayscale bought a total of 300,000 over two consecutive days on the 18th and 19th, indicating strong institutional interest.
4. Zen public chain is ready to develop independently, and holding ZEN will also yield airdrops of ZKF.
When these strong institutional coins show unusual movements, it indicates that institutions are preparing to act. Therefore, buying yesterday led to being on the top of the gainers list today. As for the selling point, I sold all my principal, and I will keep the profits for further opportunities.
Apart from Zen, which coins show strong institutions based on this rebound?
$Hype$Usual$Cow$Sui$Move
Among them, $Hype directly hit an ATH, which is quite brutal; I have to admit some respect.
$Usual released a new cooperation announcement, indicating a strong intention to collaborate with all stablecoins, leading to a fierce price rebound.
$BGB, which follows the same trend, is slightly weaker in its rebound, so let's see if it follows up tonight.
$Cow supported by major IPs like Trump and Vitalik.
In the secondary market, Trump concept coins are still strong, and ENA has basically recovered. Sui is still very strong; you can't even place orders to get in.
However, during this major drop, some quality assets on-chain hardly declined. Just now, BN has also launched a series of quality AI contracts, suggesting that we must shift more focus to on-chain trading in the future.
V gives everyone some spot trading tips.
XRP is also one of the strong coins. Once the market starts to reverse, it will be among the first-tier strong coins. You can buy spot near the current price of 2.35u, aiming for new highs, with an expected increase of over 30%.
Link's trend remains strong. You can also buy spot near the current price of 24.5u, and new highs can be seen above, making it a strong coin.
WIF can be bought around the current price of 2.2u; it has already stopped falling and started to rebound, with an expected increase of over 20%.
Pnut can be bought near the current price of 0.7u, leaving a position for additional purchases, showing signs of a V-shaped rebound.
