Last night, in addition to the unemployment benefits being bearish, there was another piece of news: miners couldn't withstand high electricity costs and started dumping! Don't panic, Hongcai will explain it to you clearly!

Last night’s drop had many people looking for reasons. Actually, there’s no need to guess too complicated; Morgan Stanley's report said it very plainly: many miners can't hold on and are selling coins for cash!

Why do miners need to sell? It's simple: electricity is too expensive, and coin prices haven't gone up, so the coins mined aren't enough to pay the electricity bills. Especially for those high-cost mining farms, the more they mine, the more they lose, so they can only choose to sell coins to recover losses. It's like running a small shop where the goods sold aren't even enough to cover the rent; over time, you will definitely have to close down.

So what does this mean for us retail investors? In the short term, as miners continue to sell, market selling pressure will increase, and coin prices may still fluctuate. But don't panic just because you hear this; it's not all bad news:

High-cost miners exiting is actually the market 'clearing inventory', which can make the network healthier in the long run.

Large institutions haven't moved, and big players are still holding without selling, indicating that long-term confidence is still there.

A drop is an opportunity; if you've always wanted to get in, the fluctuation period is actually a good time to gradually position yourself, just don’t go all in at once.

Hongcai's advice:

Don't let news lead you astray; fearing drops and chasing rises is not wise. Hold onto your positions that you are willing to keep long-term, and you can make small purchases when prices drop, but don't be greedy when prices rise.

Remember: the crypto market is not short of opportunities, but it lacks patience. Miners selling coins are just short-term fluctuations; those who can hold on are the winners! Follow Hongcai and participate in every attack from Hongcai! Hongcai will announce specific entry times and real-time news every day at Caishen's home! #加密市场观察