Today, May 26, the BTC price is reported at 13,600 USD.
In the face of BTC's continuous high volatility and the mixed trends of bulls and bears, many investors are expressing that they "don't understand".
Several friends around me suffered losses during yesterday's fluctuations—when Bitcoin is consolidating at high levels, altcoins often fall into a series of declines. Recently, multiple warnings about risks have been issued: contract trading is only recommended for short-term intraday participation, while spot trading should focus on larger cycles.
Just like the gear principle of a mechanical watch, the second hand, minute hand, and hour hand correspond to different time frames, with the ups and downs of a small cycle ultimately forming the trend of a larger cycle.
For small players, survival in the market is not easy: when capital is limited, high leverage and betting everything may seem like "betting small to win big", but in reality, it is disconnected from the trend—even if the larger cycle trends upward, frequently participating in minute-level and hour-level fluctuations is still prone to losses.
The root of "fast is slow" lies in: small cycles have strong randomness, and a single mistake can wipe out everything; while large capital players, with sufficient margin and position tolerance, can afford small fluctuations after positioning at relatively low levels, ultimately capturing the upward trend completely, illustrating that "slow is fast".
The difficulty of crossing social classes far exceeds the superficial rises and falls of the market. From the day trading perspective, Bitcoin still has short-term support, but the pressure of a pullback after a spike has not dissipated, and one should take profits when they see them.
It is worth noting that current altcoins are weak in following Bitcoin's rise; if Bitcoin retraces, it may trigger a correlated decline. ETH remains in a bullish structure, and the market is not yet over.
In terms of strategy, one can short high-positioned altcoins that have recently risen in contracts but should not hold positions overnight. With market volatility increasing, it is essential to remain cautious.
