$BTC Bitcoin and Ethereum have not fluctuated much recently, but some currencies have performed well, and the low-to-long idea is still valid. Bitcoin is currently supported at around 29,000, which can be used as a defensive position for recent long positions. The strong support below is still 27,900. Judging from the trend of individual currencies, it is unlikely to break through the support of 29,000 in the short term, so this week is a very good time to enter the market, and the important pressure level is between 30,800 and 32,600.
Next, let's look at Ethereum. It has been hovering near the trend line recently. Once it breaks 1800, there will be risks. Compared with Bitcoin, Ethereum has performed relatively weak recently. Like other currencies, it continues to fluctuate and retreat, and there is no sign of a decline. In terms of operation, 1800 can only be regarded as a defensive position. As for the trend, it will take time to verify. The pressure level is between 1920 and 2080. #BTC #ETH
As for why LPT, YGG and API3 have risen so much, is there some reason that these three projects seem to be unrelated, but are closely linked by some force. I have been thinking about this question, why have I made so much money recently, and all of this money was earned through funding rates. This is really weird.
Let me speculate on the reasons and what is hidden in it. I observed the 24-hour trading volume of LPT on Binance. The LPT/USDT spot trading volume reached 42.85 million US dollars, the LPT/USDT contract trading volume reached 1.274 billion US dollars, and the LPT contract position was 80.7 million US dollars.
The nominal value calculated based on the funding rate is: 8070 * 2.5% = 2.0145 million US dollars, multiplied by 3 per day is 6 million US dollars.
Assuming that I have controlled more than 90% of the spot LPT, it would be even more perfect if the remaining 10% was locked for a long time and could not be traded. #lpt
Pre-borrow spot tokens to prevent others from shorting.
A long position in a contract.
Continue to use the funds provided by the funding rate to push up the spot price (the spot depth is low, and only a small amount of funds is needed to push the price up), maintain a high funding rate, and slowly defeat the shorts.
Repeat steps 1, 2, and 3.
In this way, no matter what the shorts do, they will either be defeated by the -2.5% funding rate charged every 8 hours, or by the spot price I push up. Under my strategy, shorts are doomed to lose. They will either continue to pay the funding rate or be defeated by my pull-up. YGG and LPT should be operated by the same dealer, and the sharp drop in YGG may be a signal for the dealer to leave the market.
The spot market is very easy to manipulate, and only a small amount of capital is needed to influence prices. By charging a funding rate, prices can be guaranteed not to fall.
Therefore, the dealer can push up the price with confidence, but the contract price cannot rise. This is because no one takes the contract, but the short sellers must pay the funding rate, so the short sellers cannot resist for a long time.
After waiting for a round of liquidation, the market makers began to dump the spot goods.
What strategy should we adopt for the current altcoins?
I have seen many friends raise similar questions, most of whom are concerned about operations in the later stage of the market, including when to short and whether they can continue to add long orders.
The trends of many altcoins this year are similar. To sum up, there are several key points: there are a large number of short positions in the contract, the main force pushes up the spot price, causing the rate to soar, and the shorts cannot hold for a long time.
Often before the end of the market, there will be a final wave of rapid rise followed by a burst of shorts. After providing liquidity, the main force will directly dump the stocks.
You can refer to the trends of ARPA, LINA and YGG, which are basically similar.
Before the market comes, it is painful to short sell at any time. The market will either continue to fluctuate and not fall, or rise slowly.
In this situation, traditional technical analysis has become difficult to cope with. If you want to make a profit in this round of market, you must think from the perspective of the main force.
No matter when the market is like this, you must set a stop loss. The volatility of altcoins is very large, especially when sentiment is high. Even if the position is low, it is easy to get liquidated. The callback after chasing highs must be at least 60%, otherwise it will be difficult to get out of the trap for half a year.
For low-multiple positions, you can set stop losses by trial and error. If the market is confirmed, you can expand profits by adding positions with floating profits, and strive for greater returns with minimal risk.
In addition, OPBNB will be launched on the mainnet in August. To be honest, I am still looking forward to OPBNB to have a brilliant explosion in the market like BSC. I remember that it was Binance's BSC that ignited the market and BNB soared on the chain - a large number of ecosystems exploded, CAKE BAKE XVS was killed, and then the exchange public chain war started. Later, SOL started to rise again under the promotion of FTX. Pay attention to Binance. CAKE BAKE XVS.
