BTC is rising again, breaking above the 80,000 mark once more. The bulls still show no obvious signs of weakness, and the bullish trend remains strong.
BTC continued to rise this morning and pushed through further; to this day, there are still no clear signs of weakness. So does BTC still have to keep rising and continue breaking higher? Is it possible to chase the price?
BTC’s momentum recently has been extremely strong—almost no weakness to speak of. So does this mean a bull market has really started? I still hold on to my previous view. If a bull market is indeed underway, then I’m prepared to miss the train. If you ask me to chase at such a high level, I definitely won’t do that. After this much has already been pushed up, I still believe there will be a decent pullback. As for where it will pull back, we need to watch where distribution shows up—that’s what we call supply and selling pressure. Right now, there hasn’t been any obvious increase in volume for distribution, so a clear short-term top has not appeared yet. But what I still believe is that there will be a solid pullback. When I look back at the early stages of previous bull-market launches, after the initial rally and pull-up in the early phase, most market cycles went through a pretty good pullback, with a very decent magnitude. So at this moment, chasing longs, in my view, isn’t a smart move. That’s why I’ve decided: if BTC doesn’t pull back, I won’t board the train to open long-term long positions.
Actually, we shouldn’t focus only on BTC. Many of its related U.S. stocks have already pulled back to where they should be—for example, SanDisk and SK Hynix. They’ve both pulled back by about enough. If you’re not confident about BTC—if the bulls aren’t willing to chase and the bears don’t dare to short—you can play the U.S. stocks with a small position size.
BTC continued to rise this morning and pushed through further; to this day, there are still no clear signs of weakness. So does BTC still have to keep rising and continue breaking higher? Is it possible to chase the price?
BTC’s momentum recently has been extremely strong—almost no weakness to speak of. So does this mean a bull market has really started? I still hold on to my previous view. If a bull market is indeed underway, then I’m prepared to miss the train. If you ask me to chase at such a high level, I definitely won’t do that. After this much has already been pushed up, I still believe there will be a decent pullback. As for where it will pull back, we need to watch where distribution shows up—that’s what we call supply and selling pressure. Right now, there hasn’t been any obvious increase in volume for distribution, so a clear short-term top has not appeared yet. But what I still believe is that there will be a solid pullback. When I look back at the early stages of previous bull-market launches, after the initial rally and pull-up in the early phase, most market cycles went through a pretty good pullback, with a very decent magnitude. So at this moment, chasing longs, in my view, isn’t a smart move. That’s why I’ve decided: if BTC doesn’t pull back, I won’t board the train to open long-term long positions.
Actually, we shouldn’t focus only on BTC. Many of its related U.S. stocks have already pulled back to where they should be—for example, SanDisk and SK Hynix. They’ve both pulled back by about enough. If you’re not confident about BTC—if the bulls aren’t willing to chase and the bears don’t dare to short—you can play the U.S. stocks with a small position size.
