Musk establishes the American Party, cryptocurrency prices slightly consolidate as caution prevails in buying!

On the 5th of this month, Musk announced the official establishment of the American Party. After Trump signed the 'Big and Beautiful Act,' Musk initiated a vote on X regarding whether a new American regime should be established. Now it has been officially announced. Whether the establishment of this American Party is good or bad for our cryptocurrency prices remains uncertain; we can only observe the changes! However, tariffs will soon be implemented, which will definitely trigger panic. Therefore, for now, we will continue with a short-selling strategy around rebounds!

From a technical perspective, the daily chart has formed an inverted hanging candle this morning, the KDJ three-line golden cross is diverging upwards, and the MACD double lines are also turning upwards at a low level, showing signs of forming a golden cross. In the short term, there is a possibility of price surges enticing buyers, so it’s best to observe the trend for now and prepare for short-selling at ideal rebound levels! If the price does not stabilize above 108500 during the day, it indicates that the bulls are weak! Key resistance levels to watch are 108500, 1090000, 110000, 110500, and 112000, while key support levels to watch are 107000, 106300, 105000, 104000, and 103000.

The signing of the 'Big and Beautiful Act' has thoroughly angered Musk; although it reduced most of Tesla's taxes, it also cut off Tesla's new energy subsidies. It is said that this act benefits the rich and makes it harder for the poor. Therefore, Musk's establishment of the American Party has garnered much support. Whether this is good or bad remains to be seen; everyone should observe the changes!