At the time of writing, the price of BTC fell to around 27,500, and there were clear sell orders in the market. It is important to note that some important news came out over the weekend. Justin Sun transferred his Ethereum staked on LiDo to an exchange, and the Ethereum Foundation also began to transfer tokens to exchanges. Although these moves cannot be regarded as clear sell signals, they have attracted the attention of some market traders.
According to the current market situation, the Bitcoin futures market shows a downward trend, and with the rise of the US dollar and US bond yields, the performance of US stocks tonight may not be optimistic. Contrary to the previous expectation of funds pouring into safe-haven assets, it seems that capital is being withdrawn from the market, which is a bit like "blood sucking" in the financial market.
The global economic situation and market sentiment are not optimistic at present, especially under the pressure of high interest rates in the United States, the situation has become more difficult. From the news perspective, the market has lost its obvious positive sentiment, and as the general trend develops in a pessimistic direction and loses the "fear of missing out" sentiment, the flow of funds in the market may decrease. This poses additional challenges to the market situation.
From the perspective of news, there are two key time points this week, Wednesday and Thursday. The Federal Reserve's monetary policy minutes meeting will be held on Wednesday. At the same time, the presidents of major US banks will also make speeches this week, and put forward their own views and opinions on the Fed's future interest rate hike plan. Thursday is the release date of the US core inflation data CPI. According to the views of US economists, the core CPI data (excluding food and energy data) may remain at 0.3%. However, energy prices are about to fall in the near future, coupled with the uncertainty of the Israeli-Palestinian conflict in the Middle East, and international inflation has risen, which may lead to an increase in the inflation rate. Coupled with the food and energy data, the inflation situation may be higher than the previous figures. Such an astonishing inflation rate may once again strengthen the market's expectations for the Fed's interest rate hike.
For the crypto market, it has gradually become accustomed to the situation of interest rate hikes, which also shows the habits and adaptability of this young market and its ability to quickly respond to negative sentiment.
In general, the market lacks effective positive news, especially when the global economy is facing the high interest rate policy of the United States. The lack of positive news makes it difficult for the market to rise sharply. In addition, due to the Palestinian-Israeli conflict in the Middle East, the United States may continue to use high interest rate policies, which may exacerbate market turmoil, coupled with the expectation of possible interest rate hikes. Although market sentiment is ready to adapt to negative news, in the absence of new influxes, the possibility of continued low liquidity shocks in the market still exists.
In a low liquidity market, we need to be aware that major funds may suddenly intervene and cause a spike in prices.
About contract trading trends:
In terms of contract trading, the current trend callback is bearish, and the callback position can be referenced by the midline on the 4-hour chart. This is a relatively stable trading strategy. Be sure to set a stop loss. Recently, I have seen many short orders being trapped. In the afternoon, I saw a fan saying that the position was blown up in the comment area. I was also very sorry. This situation is mainly caused by not setting a stop loss. In the trading market, you must develop healthy and good trading habits. This may not necessarily make you earn a lot in the short term, but it will definitely take you a long way until the bull market comes.
In addition, there is no need to worry too much about a sharp drop in the short term. The 27,000 position may continue to trade sideways for a while. It is expected that the market may have more small fluctuations after Wednesday and Thursday. After all, the 1-hour and 4-hour charts have already seen trend changes, which will take some time to repair.
Spot trading:
There has been a lot of discussion recently about ambush coins. Unless you have inside information and know which coins will be manipulated by the market, it is better to choose some well-known large-cap altcoins. For strategies such as hoarding coins during bear markets, mature traders already know that they usually have clear goals. Of course, their plans may not be comprehensive, but the key is to determine when and how to enter the market.
It should be noted that the number of young people who used to say that the bull market is bullish has decreased. Don't be too FOMO market sentiment, and even if you agree with a certain point of view, you should consider it carefully. Conspiracy theories are based on various current views to imagine future situations, rather than making random guesses and following the trend while ignoring all views.