$BTC $ETH The tariffs between China and the U.S. have been implemented, and corresponding actions from countries like Japan and South Korea should gradually follow. The subsequent news about tariffs will likely have less impact on the market. The macro news affecting the market going forward will be from the Federal Reserve.
On May 14, Bitcoin ETF saw a net inflow of 319 million USD, and Ethereum had an inflow of 63.5 million.
Yesterday, Trump publicly endorsed cryptocurrency on social media, declaring himself a loyal fan of cryptocurrency, and also stated that he is a believer in AI (artificial intelligence). This may be one of the future leading technological and financial trends in the world, and we are part of it, so we must believe in ourselves.
The CEO of crypto venture capital firm 10T Holdings pointed out at the Consensus conference in Toronto that too many crypto startups are pursuing valuations that far exceed their revenues, making it difficult for venture capital to achieve returns. Tapiero stated that for some reason, founders and CEOs believe they should raise funds at 50 to 80 times their revenue. This makes it hard for us to create returns for liquidity providers. Most of the new altcoin projects currently are like this, exchanging air for capital, harvesting from the market rather than valuing based on required revenue capacity. However, this is also one of the characteristics of the crypto world, but truly revenue-generating projects are not actually correlated with their coin prices.
Industry Analysis
Today, if we extend our view, after the MACD death cross for three months, the weekly K line has once again golden crossed upward at the bottom. This resembles the trend after May 19 in 2021. If this continues, once the price reaches a new high, there will be a weekly MACD peak divergence. Therefore, I believe that even if there is a new high in this wave, the extreme won't exceed much. If it can quickly break through the new high this month, 110,000 to 120,000 remains an excellent opportunity to exit at the top.
In the short term, the weekly chart has seen five consecutive bullish candles. A bearish adjustment this week is a very normal performance, with support levels at 99,000 to 100,000. As mentioned yesterday, Ethereum has a high probability of reaching 25XX this week, and it has already hit 25XX, with the worst-case scenario going down to 24XX. I believe this will also happen. Support levels are at 2350-2400.
Regarding Altcoins:
NPXC is about to launch, and we can look forward to its performance. The initial circulation is 170 million. If the market cap is below 100 million, it is still worth a try.
Most altcoins are in a correction, but the Zoo is very strong. Er Gouzi's NEIRO has truly rejected all corrections this time, maintaining strength even after a rapid spike. The 5-day moving average is a good position for a low buy. It is currently performing too strongly, forming a perfect bullish arrangement. I don't know if it will be a super Mario or a relay rise. By the way, don't be greedy; if you make a mistake, you must be brave enough to cut losses.
