Last night, CPI inflation data fell below expectations, which should have boosted the market. Initially, the market did respond positively, but breaking news quickly deteriorated the situation in the Middle East, dragging the market down. Reports indicate that US-Iran nuclear talks are nearing collapse, and Israel has notified the US of plans to strike Iranian nuclear facilities, while the US expects Iran may retaliate against American military bases in Iraq. The Middle East conflict 2.0 seems to be escalating... It looks like the Middle East War 2.0 is about to return, which is also a major reason for the market adjustment.
Today's PPI data is within expectations, with little impact on the market. The recent focus should still be on geopolitical conflicts and China-US trade negotiations!
From last night to today, the market has generally fallen, but Ethereum (ETH) has performed remarkably. In terms of ETFs, the inflow of funds into ETH reached 240 million USD, setting a record and surpassing Bitcoin ETF's 160 million USD inflow. This is also one of the important reasons for ETH/BTC's strong performance recently. It seems that institutions' enthusiasm for ETH is on the rise, and Americans have finally recalled Bitcoin and Ethereum!
From a daily chart perspective, Ethereum has recently created a new high in the short-term K-line but has shown a top divergence. The K-line has pulled back after rising, but the overall trend is still in a bullish arrangement, with short-term moving average support below. Therefore, the pullback space is limited. Watch the 2700 support level. After adjusting and building momentum, ETH may continue to challenge the 3000 mark at any time!
Many people ask what to do with altcoins. Altcoins are too sensitive right now. As soon as the market slightly adjusts, they follow the drop. This round of altcoins may be like your ex-girlfriend, never returning to the past. Those once beautiful moments can only be deeply buried in the heart. Currently, the market is rising with Bitcoin, news is filled with Bitcoin reserves, ETFs, and institutional investors. The news about altcoins has lost its waves.
It's like resources and money flowing to the upper class, which does not lack money, while the liquidity of cryptocurrencies is continuously flowing into Bitcoin, and it is unceasing. No matter from the news side or the funding side, almost all resources flow to Bitcoin, while altcoins will only be continuously drained!
So, regarding altcoins, I have been saying: in the current overall market environment, if you want to continue seizing possible altcoin opportunities, it is best to focus on short-term trades, manage your profits and losses well, and definitely control your position ratio. Don't let yourself fall into a new quagmire regarding altcoins!
Especially when the market rebounds, remember to reduce your position. Money is not infinite, but losses can be!
Now let's talk about alpha airdrops.
How much longer can I play?
As the duration of alpha's launch increases, the number of participants grows, costs rise, and profits decline. From the initial 15 points per day, a 15-day cycle yielding 225 points met most airdrop requirements, to now having thresholds exceeding 230 points. It's hard to earn profits with daily points below 17, which only increases transaction volume and costs. For new players entering the market, this extends the break-even period and diminishes enthusiasm for continued participation.
Earning from alpha is relatively low and not particularly cumbersome. Alpha airdrops have decreased from an early yield of over 100u+ to 80u+, and recently 236 points for 800 SKATE, valued at 46u. Profits are declining, costs are increasing, and the wealth effect is weakening!
Any gameplay has its cyclical nature. Although Binance has upgraded its risk control system, the issue of bots manipulating scores has not been fully resolved. This not only undermines fairness but also increases the platform's operating costs. In addition, market saturation is also one of the negative factors, and the supply of quality Alpha projects may be nearing exhaustion. In the long run, it will be difficult for the platform to maintain high-frequency, high-value airdrop activities.
That's all I want to share with you today. I am July, and you can follow my daily article updates!
The lone traveler is swift, while the crowd travels far! Welcome everyone to join my group to discuss and exchange market trends!