To make money in the market, you must have your own investment logic and a long-term perspective on the market. The bull market will have ups and downs, with constant big pullbacks in the middle. If you only think short-term, you are bound to miss a big bull market. Now let's review how the big bull market in the cryptocurrency circle was formed:
Despair Period#非农就业人数高于预期
Since 2013, all three stars have fallen, and retail investors are desperate
BTC: After experiencing the first round of bull market, it experienced 2 rounds of
Year-on-year decline, 85% drop, nearly 900 days of decline and trading
all.
LTC: Litecoin, which was then known as Litecoin Silver, fell from nearly $60 to a low of $1, a drop of 98%, and a decline and consolidation period of 1,220 days.
XRP: fell from $0.03 to $0.035, a drop of 82%, after more than 800 days of decline and volatility.
2. Depression period: no one cares about the market, retail investors have left the market for 15 years, there is no hot spot in the market, the currency is mainly consolidating, and retail investors have left the market
3. Rekindling hope - BTC halved in July 2016, the only hope is that BTC halved, the market warmed up, and the price of the currency rose. 1C0 rekindled the war, and 10 times or dozens of times appeared
4. The explosion point appears - Ethereum appears, retail investors enter the market to speculate on copycats
Crowdfunding in 2014, launch in 2015, value yet to be discovered. Market value discovery began in 2016, price rose from 1 USD at the beginning of the year to 21 USD in July. At this time, the market was extremely enthusiastic about ETH, the creator of smart contracts, and also about POS consensus mechanisms other than BTC's POW mechanism. There was crazy speculation, and retail investors also actively speculated on copycats.
5. Despair again - The halving ended in July 2016, and the price of the currency plummeted. Retail investors are desperate again
The entire market did not recover after the halving. In addition to BTC going up, many other currencies continued to fluctuate due to lack of external funds. And with the end of BTC halving, it plummeted again. ETH continued to fall after the hype, and there was another fork at the end of the year. The high point of $21 in the middle of the year fell to $5 at the end of the year, a drop of 80%. The ICOs in the market broke down, further exacerbating the selling of ETH, and the holders were desperate again.
6. Adjustment cycle: At the end of 2016, retail investors sold their stocks before dawn. After more than three months of comprehensive decline and adjustment, the market was bearish again, and retail investors sold their stocks before dawn. ICOs basically broke the issue price.
7. The cycle has arrived, and the conditions are ripe. In 2017, retail investors do not believe that the bull market is coming.
At the end of 2016 and the beginning of 2017, we experienced negative policy impact again.
BTC plummeted 36%. However, after 16 years of ups and downs and the rotation of the global liquidity cycle, external funds
Start paying attention to the cryptocurrency world and gradually enter it. At this time, the conditions are:
1. All external financial markets have risen, and funds have gradually begun to discover the cryptocurrency world and enter it.
2. After the hacking incident, digital currency has been recognized by more people through more use
8. The bull market is coming - In the first half of 2017, those who stayed in the market made a lot of money, but retail investors did not believe that the bull market was coming.
Ethereum's value is rediscovered, ICO climax is coming, one-click coin issuance, one-click crowdfunding, but many retail investors are still slow to realize it
9. From climax to bubble - In the second half of 2017, retail investors entered the market crazily and began to see bullish sentiment
The market went crazy, ICO projects appeared crazily, and a large number of projects claiming to be “Ethereum killers” also appeared. Everyone entered a state of crazy greed.
10. The overall rise ended the high-level buying of retail investors
The overall market is rising, junk coins are flying everywhere, the bubble bursts, retail investors take over at high prices, and the bull market ends. If it corresponds to our current market situation:
The overall market trend was a downward consolidation in 2018 and 2019. Before the halving in 2020, the market crashed due to the black swan event. This year's BTC halving event ended in a pessimistic and desperate situation. Many people left the market. Everyone felt that the cryptocurrency industry was over and there was no new story. However, now a Def has emerged, which has real applications and the potential for speculation. Now, Def has cooled down in the first speculation. This situation is like ETH's emergence, which was speculated and then plummeted. ICO broke, and everyone was bearish and desperate again. We have seen the power of def. It is not only possible to speculate, but also has expanded to other fields.
domains, such as nft+def, and the birth of real traffic DEX exchanges such as Unilswap. I expect Def to become the main line of continued speculation in the future and will
It will drive the combination of other sectors, such as def+NFT. Moreover, ETH 2.0 has not yet been released. If it is released, with better performance of Ethereum-enhanced Def, I believe the hype will be even higher!
The above is the complete process of a bull market, which is always despair-hope-despair again-cut losses-hope appears-the real bull market comes. If you are in that year now, the price of ETH has fallen from 21 US dollars in July to a minimum of 5 US dollars, a drop of 80%. As a coin holder, you are very worried and want to invest in the long term, but you see that the ETH in your hand is losing money every day. There is a lot of bearish outside, and you see the news in the picture below. Do you still dare to hold it? Can you still hold it?#TopCoinsJune2024
