After the news of Hong Kong ETF landed today, there are indeed many bearish voices in the market. The popular altcoins experienced a wave of plunges in the early stage, but some strong currencies have recovered some of their lost ground. Observing the current market, the number of long positions in popular altcoin contracts is relatively small, and the fee rate is low.
Based on these observations, I predict that there will be a big rise in the altcoin market next. The main funds are likely to use the empty position mentality and short-selling sentiment of retail investors to pull the market and force shorting. The specific increase is difficult to predict, but it is certain that the market still has room to continue to rise.
In this process, the price of the currency may fall in a pin-shaped manner, causing retail investors to sell their meat in panic, and then quickly rise again, causing retail investors to fall into the dilemma of chasing ups and downs. This kind of back-and-forth fluctuation is extremely lethal to retail investors, and it is easy to cause huge losses without knowing it.
Therefore, I suggest that retail investors should be particularly vigilant in the bull market, not blindly chasing ups and downs, and learn to judge market trends and formulate reasonable trading strategies. At the same time, they should also control their positions and risks to avoid heavy losses due to temporary greed. Remember, investment is a marathon, not a sprint. Steadyness and patience are the keys to success.
