When Bitcoin hit $70,000 again and Ethereum hit the $4,000 mark again, the market suddenly became "deserted". The fundamental reason is the lack of market liquidity. There are only tens of thousands of Bitcoin on-chain transfers on weekdays, which is similar to the bear market in early 2023. The gas of Bitcoin and Ethereum has dropped to historical lows, and the market's willingness to buy and sell is very low.

Bitcoin ETF has been hyped. Wall Street institutions hold about 850,000 BTC. There has been no large-scale net inflow of funds in the past month, and the issuance of stablecoins is no longer impressive, indicating that funds are not willing to continue to buy on a large scale at this stage.

Although the Ethereum ETF has been passed, the passage of the Ethereum ETF was too hasty and not brewed, and the price has reached $4,000, which is not far from the previous high. The proportion of funds that can flow into the Ethereum ETF in the market is estimated to be significantly weaker than BTC, and the ETF has not been passed yet, and funds are not coming in at present, so there is not much room for Ethereum to continue to rise sharply.

Waiting to buy The big funds waiting to sell are looking forward to the "gold pit"; and the big funds waiting to sell are looking forward to the "halving climax", and the decision is in the hands of the Federal Reserve.

This November is the world-renowned US election. It is almost certain that the Federal Reserve will not move in June and July, but the monetary policy of the Federal Reserve will inevitably change significantly in September or after the election. It is hard to say whether the financial market will be turbulent or take off again.

Facing $35 trillion in debt, high interest rates, and soaring US stocks, it is easy to have a black swan if you are not careful, so some funds are looking forward to the "gold pit"; and the historical experience of the crypto market shows that there will be a big bull market in the second year after each halving of Bitcoin, so there are also funds waiting to sell after a big rise.

The United States will eventually solve such a high debt by flooding the market, but flooding the market will bring about inflation, so in addition to US stocks, a reservoir is needed. Various signs indicate that this reservoir is the cryptocurrency market, so in the long run, mainstream crypto assets still have the value of long-term allocation.

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