All three data points are bearish, but why are BTC and ETH soaring against the wind?
In the ever-changing cryptocurrency market, data releases are no longer the sole key factor determining the life and death of the crypto circle. Just this afternoon, faced with fans' excessive superstitions about the data, I couldn't help but express such sentiments.
First, let's take a look at the current market performance; it has been an hour and a half since the data was released, and after a brief pullback, the cryptocurrency market quickly regained momentum, running rampant like a wild horse. BTC even strongly broke through the 110,000 mark. Isn't this scene surprising and delightful for many investors?
Take tonight's released data as an example; its main impact is to directly lower the expectation of a 20% interest rate cut in July to nearly 0. Beyond that, it seems there aren't any significant movements. Currently, the price fluctuations in the market are, to put it bluntly, a natural reaction of the market to various expectations.
What's even more noteworthy is that the participants in the market show distinctly different operational trends at this moment. On one side, retail investors and large holders are all going short, while on the other side, the main forces and speculators are heavily going long. It's akin to a meticulously planned "surround hunt"; once the short squeeze phase ends, the price is likely to face a pullback. But before that, this tug-of-war between bulls and bears will continue to unfold; who will emerge victorious, we shall wait and see!