On Wednesday (May 14), I woke up to a market upheaval! Bitcoin stood at $104,976, and Ethereum strongly rebounded to $2738. The crypto world felt like it was hit by a heavy bomb, with various significant events happening, leaving people dazzled. Some became rich overnight, while others lost their way. What on earth happened? Let's explore together.
Bitcoin
In May 2025, Bitcoin reached a historic moment - successfully breaking through the $100,000 mark! It peaked at $104,361, and its market value surpassed Amazon, becoming the fifth largest asset globally. Bitcoin's strong rise is driven by powerful forces:
1. Institutional funds are flooding in, recognizing its investment value.
2. Global economic uncertainty is increasing, and Bitcoin is viewed as a 'safe-haven asset.'
During times of economic instability, the decentralization and scarcity characteristics of Bitcoin make it a favorite for investors to avoid risks.
Today's BTC data shows that short-term investors, especially those in profit, have not seen signs of an expanding pattern, likely believing that BTC's rise is difficult. The support in the $93,000 to $98,000 range is solid, with accumulation around $102,000, but all are short-term investors, so it doesn't constitute substantial support yet.
Next, there will be short-term fluctuations, very likely in the 101-1055 range, with a temporary downside of 99,700. To continue reaching new highs, significant positive news is needed.
Ethereum
It soared to $2738, which is a critical point for Ethereum, holding significant importance. In this bull market, Ethereum is the true 'big brother', leading the charge. It's incredibly powerful; it feels like if I pull Sun Ge, I'll break even, and I'm finally close to the end of this ordeal....
To judge the trend reversal of ETH, there are two dimensions:
1. The magnitude of price fluctuations
2. The structure emerging from price movements
For this wave of Ethereum, I bought when the divergence + oversold signal appeared, and the price has rebounded by 95% now. However, even if the increase is close to doubling, I still can't say this is 100% the bottom, because the price structure hasn't been fully confirmed yet. Next, ETH will enter a large range of 2600-3000.
Answering fans' questions: The underlying logic of the cryptocurrency market's rise and fall.
Answer: Of course, the main force determines the trend!
From the data, the BTC main force has remained stable and hasn't sold. The ETH main force has entered and exited 2-3 times, frequently trading short-term, possibly fearing being trapped and also fearing missing out. After the 13th, they closed contracts to buy spot for hedging. The BTC main force contracts have never been sold and are continuously held, controlling the market direction.
If a large number of BTC spot contracts escape, then the bull market will end. It won't matter who shouts, unless the main force votes to enter the market again.
The meme coin craze is on the rise again, but the madness hides risks.
Recently, the hottest topic in the crypto world is meme coins! The Trump concept coin (TRUMP) surged over 20% weekly, and the Musk coin, promoted by Elon Musk and his son, rose 500% daily, igniting investor frenzy. The popularity of meme coins is attributed to celebrity influence and social media dissemination, with the impact of Trump and Musk encouraging fans and investors to follow suit.
Meme coins with low market value and high volatility attract adventurous investors, but the risks behind them are enormous, lacking actual value support, and are easily influenced by market sentiment and speculation, leading to significant price fluctuations and potential crashes. However, the meme coin market also faces fraud and manipulation, with some criminals exploiting investors' greed by issuing fake meme coins to commit fraud, causing investors to fall into traps if they are not careful.
Today, the Glonk target has been issued on both the bonk platform and the pumpfun platform.
I quickly understood the Glonk incident and without hesitation, I invested around 9 million.
As a result, the trading volume and market value of the bonk platform are several times higher than pumpfun. I think this is an important signal: the retribution for pumpfun has come!
All of pumpfun's income had been continuously sold for SOL to suppress prices. Recently, due to the platform's decision to give 0.05% to creators, the fantasy that they would pump meme coins is unrealistic. Previously, the founder could only rely on verbal support to pump a coin, resulting in a quick zeroing out, with fresh memories of being cut.
In contrast, bonk's operations are strong, especially today's glonk trend. If there wasn't a major player pumping, I absolutely wouldn't believe it. Looking at this standard retracement and the three waves of rises, it seems like the graph was drawn exactly from a textbook. It's a bit excessive.
