In today's cryptocurrency market, various indicators have paled in comparison to ZC. The power of ZC's calls can forcefully twist the market into a 'Trump rhythm'! Bitcoin has returned to $104,000 after three months, and Ethereum has skyrocketed by 22% in one go, with market sentiment shifting directly from 'panic' to 'greed mode'.
Today, we will analyze the logic behind this:
The easing of tariffs has directly weakened the market's panic over the 'global trade war', causing gold to drop, and risk-averse funds have turned to BTC as the 'digital gold'.
Trump is simultaneously pushing for the implementation of the 'Stable Market Regulatory Act', with a SEC chairman who is pro-crypto, leading institutional funds to frantically scoop up spot ETFs. The data doesn't lie: on May 7th, the net inflow for BTC spot ETFs was $142.3 million, while ETH's leverage positions surged, indicating that big players have long been sharpening their knives.
The 22% surge in ETH is a 'doomsday carnival' built up by retail investors using leverage, contrasting with BTC's 'stability'; ETH's movement resembles a short squeeze driven by retail investors. The successful upgrade of Pectra was originally a long-term positive, but leveraged funds turned it into a short-term catalyst for price surges. Coinglass data shows that on the evening of the 8th, ETH short positions faced a liquidation of $650 million, and a certain whale accurately bottomed out by purchasing 7,000 ETH, directly igniting the market's FOMO sentiment.
But remember, the direction of policy can change at any moment, leveraged funds can flee at will, and don't let greed blind your eyes—after all, in the crypto world, profits that are realized are the true gold and silver.
