Did you smell the opportunity in Bitcoin's recent move?
Bitcoin has touched $180,000 again today, and this surge, just like yesterday, is by no means accidental! But do you really understand the logic behind it?
First, the expectation of interest rate cuts by the Federal Reserve, coupled with the global wave of monetary easing, has completely unleashed Bitcoin's 'digital gold' properties.
Traditional institutions, like sharks smelling blood, have been frantically increasing their holdings, with giants like Grayscale and BlackRock accumulating more than 500,000 BTC, directly consuming the market's circulating supply! The U.S. SEC has also approved Bitcoin spot ETFs, and as the compliance channel opens, trillions in traditional funds are flooding in; it's no surprise that prices are rising!
Looking at the market data: a weekly '7 consecutive green candles' is historically rare, with MACD golden cross and RSI overbought; technical analysts have already been shouting 'bull market has started'! Market sentiment is further fueling the fire, with the fear index jumping from 'extreme fear' directly to 'greed', and the FOMO sentiment among retail investors is fully ignited.
However, from my personal perspective, I must pour a bucket of cold water on this:
Short-term overbought signals are significant, with RSI over 85 and the greed index reaching extremes; the risk of a pullback is accumulating!
But in the long run, Bitcoin's scarcity + institutional allocation demand + global inflation hedging property ensures it remains an excellent target for 'asymmetric bets'.
Lastly, let me speak some hard truths: in this market, institutions eat the meat while retail investors sip the soup, but blindly chasing high prices may turn you into a 'leek'. Instead of getting caught up in short-term fluctuations, it's wiser to learn from smart money, build positions in batches, and hold long-term—this is the way to go!
Bitcoin's status as a 'digital reserve asset' is irreversible, but the market always rewards those who are patient. Remember, only when the tide goes out do you discover who has been swimming naked.
