Currently, there are many potential positive factors in the market and few negative factors!
Why is it rising? Of course, it’s because of the BTC halving. Every halving triggers a cryptocurrency bull run, and this time is no exception.
More importantly, I believe market conditions are more favorable today than they were in early April for the following reasons:
For the most liquid, highest quality crypto assets, your entry price is 8-25% lower than at the beginning of the month. For many Altcoin, the discounts are much larger, up to 40% in some cases.
2. Market expectations for rate cuts this year have been significantly reduced following the recent hawkish statements from the Fed. In fact, the market has now accepted the idea that rates may still rise, even though this is not the case at the moment. If economic/inflation data pulls back in the coming months, risk assets will rise as a result.
3. There is almost zero expectation that the SEC will approve an ETH spot ETF in May. If the SEC ends up approving an ETH spot ETF against market expectations, I think ETH could easily rise 50% in a few days, and all ETH derivative assets would follow. If this happens, it will probably be the most painful trade for most investors. On the other hand, if it is not approved, it will largely be a non-market event.
4. We are thankful that the conflict between Israel and Iran has not escalated. Both sides seem willing to temporarily cease fire. Although the situation is delicate and the risk of escalation is still possible, at least the market is now acutely aware of this risk and has priced it in to some extent.
5. Over the past 3 weeks, leverage has been cleared from the system after multiple rounds of liquidations. Therefore, the setup has been cleaned up and leverage will be reestablished in the coming weeks.
6. Crucially, despite the sharp market correction over the past few weeks, there have been no major breakouts. Large centralized exchanges have not collapsed. Most DeFi protocols are functioning normally. Even USDe, which has been likened to UST due to its high yield, has not decoupled as some investors feared. Re-collateralization pools have also not experienced any problems. Part of the reason things are so good is that the sell-off has been gradual and orderly, but it's good to know that there haven't been any breakouts.
So, where do we go from here? I think we are still in the early stages of this new cycle. I think the market environment is more favorable for Altcoin from now on. I expect we will see more participation from retail investors in the coming months.
As the market moves forward, there are only two important moments left.
One is the latest opportunity to get on board this year, which is the 414th day. Now is an excellent opportunity for a new round of getting on board. As long as you keep a calm mindset, you should be able to make money everywhere in these few days. The other is the peak of the bull market in the next two years. If you grasp these two important moments, it will be easy to make the money you want.
As for whether 5W will fall below, as I said before, since the previous 5W to 6W took a long time to consolidate, it is still a very strong support range unless it is absolutely necessary. After all, the whales and ETF funds that came in from 5W to 6W account for a large part. They have not made much money so far, and have not found any good opportunities to get off. Therefore, I don’t think there is any need to be too pessimistic about the market, and it has not reached the top yet.
The next wave of copycats will see a bigger and more spectacular increase than the previous two stages. Many ten-fold increases are just the bottom line. It will also be the last chance for ordinary people in recent years to leap from A6 and A7 to A8 and A9. Don’t be discouraged by the previous setbacks. Regain your confidence and don’t forget the ultimate goal: financial freedom. That’s enough.
Recharge your faith in future market conditions!
1. Don’t blindly enter the Altcoin. You must study it carefully and focus on Altcoin with large trading volumes and good project backgrounds! This round mainly focuses on the AI track and MEME sector. You can focus on those with high trading volumes. For the MEME sector, you need to look at new coins. For other sectors, you can’t just focus on new coins. Many new coins are just for profit. Pay more attention to hot sectors. You can basically get 5 times the bull market by buy the dips at the bottom in these sectors!
2. The altcoin market has not started yet. According to the bull market experience in previous years, Altcoin mostly follow ETH. This round of ETH has not started and has been fluctuating. Only when ETH starts, Altcoin will gradually follow!
3. This month, the coins with good backgrounds and strong market makers will basically not pull back by more than 30%, and even this wave of rise has basically pulled them back. These coins should be paid special attention to, and there may be 10 times of room for growth in the future. These coins not only have good projects, but also the previous wash-out has washed out many leveraged contract users, so the future prospects are bright.
The big bull market is coming soon. I hope my brothers will still be on the bus by then. The risk of miss the pump on the bull market is always greater than the risk of being trapped on the bus!
Create a high-quality circle
Spot mainly
I will share some content: as shown below:
Tentative 50 people
The overall position is ≥ 10,000u. If you want to join, scan the QR code below!
(A few hundred or a few thousand is too small to operate. If you don’t have it, you can also send a private message. You can also join after passing the screening.) Purpose: To become bigger and stronger, and create a brilliant bull market turnaround!
This is the end of the article. I will do a more detailed analysis in the communication group. If you want to join my circle, please contact me directly through the WeChat below!
Want to join the VIP spot group! Welcome to chat with me! Welcome to join us to grasp the next hot spot and maximize the return on investment together!
