Bitcoin fell below 93,500 last night. In the morning, Bitcoin suddenly rose to 97k. This rise did not break through the previous high, and the hourly level closed with a long upper shadow, which seems to be a double-needle top test. It is most likely a false breakthrough.
I ask you if you are confused by the Bitcoin market! Wall Street analysts are confused when they analyze the current market. What should I do if it should fall or rise? It seems that it is about to fall, but the big positive line pulls it up. If I don’t continue to hang around, what can you do to me? It’s so annoying. The reason why Bitcoin rose sharply today 1. China-US trade is expected to reach a settlement, and the UK and the US have reached a trade agreement. China and the United States have officially entered the negotiation process. The two sides will begin contact and negotiation in Switzerland. Regardless of the outcome, it will definitely play a very positive and positive role in the market.
2. Several US states are expected to pass the Bitcoin Strategic Reserve Act in the near future. The first US Bitcoin reserve state has emerged. The New Hampshire Strategic Bitcoin Reserve Act allows the maximum Bitcoin holding amount to be 5% of the state's total funds. The scale of New Hampshire's 5% fund may be between 160 million and 400 million US dollars, and the maximum probability is 160 million.
The significance of this passage is far greater than the amount of funds, and its significance is cross-era: state legislation - other state legislation - federal legislation - Bitcoin becomes a global asset, the real digital gold...
3. China announced a rate cut. The central bank announced a 0.5 percentage point cut in the reserve requirement ratio, providing the market with about 1 trillion yuan of long-term liquidity. Starting from May 8, 2025, the 7-day reverse repurchase rate will be reduced from 1.50% to 1.40%. This is the first rate cut by the People's Bank of China since September 2024. 1 trillion yuan can be allocated to Bitcoin, and Bitcoin is not far from skyrocketing.
4. Thumzup, a listed company, submitted an amendment to increase the maximum total issuance amount to $500 million to acquire Bitcoin. Once the amendment takes effect, this additional registration statement will allow Thumzup to raise up to $500 million to increase operating capital and advance its Bitcoin acquisition strategy. The company’s board of directors has previously authorized the allocation of up to 90% of liquid assets to BTC, driving the price of Bitcoin soaring.
The combination of these four factors directly caused the price of Bitcoin to rise in the opposite direction in the middle of the night. Will the Fed cut interest rates or not? Will Bitcoin surge or not? Pay attention to the news tonight. The Fed’s interest rate decision at 2 a.m. will definitely not cut interest rates. The upper pressure can be placed around 97,800, betting that it cannot effectively break through. If a false breakthrough comes down quickly, it will start the decline mode. Look at 89,000 below first.
From a technical point of view, the weekly line has 5 consecutive positive days and MACD is about to form a golden cross. Everything seems to be heading towards the target of 100,000. However, I don’t think it will be so smooth. There is at least one bottom. Let’s wait for the second bottom to appear before buying the dip!
Tianmeng's recent grasp of the market is quite accurate. She updates the public account every hour. Recently, she has been on WeChat too frequently and has lost contact with many fans. You can add Tianmeng's new WeChat for free consultation on coins and join the group without any threshold. At 18:05 Beijing time on May 7, Ethereum will complete the Prague hard fork upgrade. The bulls' positive expectations are about to land, and the price is likely to land together. Historically, the upgrades of Ethereum have been good in the long run, but bad in the short run. Especially when there are still a large number of bottom longs in Ethereum that have not been liquidated, it is not a reasonable choice to continue to bet on longs.
In short, despite the optimistic expectation that Ethereum may surge 10 times in its 10th anniversary, there is a lack of substantial support. The price and ecosystem of the currency are weak, and the upward momentum is insufficient. Investors need to remain cautious and beware of the good news running out.
Compared with the bottom price of the altcoins in early April, the overall price of the altcoins has been raised. However, most of the altcoins performed very weakly in the first wave of testing, and they were in a W shape. They rose a little and then fell back. The fan coin market is currently more inclined to the altcoins with small market capitalization. The continued rise of the fan token sector, especially yesterday when BN announced the opening of the ASR and ALPINE contracts, violently rose by more than 50%. I also reminded everyone in yesterday's article (Trump's strategic reserve has landed, and Bitcoin is about to soar? Ethereum upgrade countdown, V God shouted: Upgrade and rise 1000%! BTZ soared 50%, the reason was exposed! What is the next soaring coin?) to lay out the fan coin sector, which can be said to be once again before the market surges.
The market value of a single token in the fan token sector is several million, and the circulation is very small, ranging from several million to ten million. It is very convenient and easy to pull. You can make double money by opening a contract. It can be seen that funds prefer small market capitalization. You can also ambush other fan tokens in the future, such as ACM, JUV, OG, etc., to see if you can get a contract.
Mainstream currencies:
Mainstream coins with large market capitalization need some time to make the market trend clearer before they dare to rise, because the larger the market capitalization, the heavier the vehicle is. If it dares to rise, someone will definitely dump the market and run away. It will take a long time to clean up the market before it will finally explode.
Next, the copycat will have a second and third small trend. For some people who like to trade in the market, it is a very good choice, which can help them save more capital with compound interest. The best way is to sell when the price suddenly rises, or sell when the price stops rising.