Along the observation post:

a) The total market value of BUSD has fallen below $17 billion, shrinking by nearly $6 billion in December

b) CZ: I don’t think India is a very crypto-friendly environment

c) The FBI is investigating the 3Commas data breach

Uncle's strange story:

The market value of BUSD, the stablecoin issued by Binance, has fallen to $16.883 billion. Historical data shows that the market value of BUSD was $22 billion in early December, and its market value has shrunk by nearly $6 billion in the past month. The current trend of the market is very weak, and funds cannot be gathered in the short term. The continued downward shock will continue to wipe out investor confidence, and the serious loss of chips is equivalent to slowly bleeding the market. In the last day before the New Year, a large number of chips will basically flee and wait for a more suitable time to seek entry opportunities.

BTC/USDT:

The BTC 4-hour chart clearly shows that the chips are constantly losing at high levels. The overall downward trend is in a downward oscillating trend, and the bottom upward channel has also been completed. The overall short-term pattern change is at the lower support and it is difficult to have a significant upward trend. It is still dominated by short-term downward trend.

BTC continues to recommend shorting on rallies, with an effective short order entry at the high of the range at 16800, with a downside stop profit point around 16000 and an upside stop loss point around 17000

ETH/USDT：

ETH has already fallen back and broken through the effective support of 1200 in the 4-hour market, and a downward channel has been formed in the general direction of consolidation. Hot money has been continuously flowing out, and there is no defensive position to make an effective attack on the support. The latter will continue to lose chips and cause a decline from the intraday high.

Short at highs near 1250, the upside stop loss position can be placed at 1280. After falling below the range, the take profit position can be seen near 1160. Beware of the pin shock after the bottom fills the gap.

Message from Uncle:

Life is an attitude. A trader's mentality determines the bitterness and sweetness of his contract road. Although the attitude towards life is related to wealth, status and situation, it is not absolute and inevitable. A rich man may be sad all day long, while a poor man may be happy and leisurely; a healthy person may complain about everything, while a disabled person may be calm and optimistic; a person who has a smooth sailing life may be frowning, while a person in adversity may be smiling. Although we cannot control the length of the contract road, we can change the width of the futures road; although we cannot change the market trend, we can change our mentality when facing the contract. The fate of the contract person changes with the quality of his mentality. Looking at life from a different standpoint can make you tolerant and generous; looking at life with a different mentality can change your sorrow into a smile.

 

To maintain a good contract trading mentality, you must follow two major rules.

Rule 1: Good fund management is the basis for maintaining a stable trading mentality. Investors holding large positions are like pedestrians with heavy burdens on their shoulders. Any obstacle on the road is enough to make them fall. The fundamental reason is that his positions have become a burden for him and have exceeded his ability to bear. So why would investors make transactions beyond their capabilities? It is because the desire for profit makes him unable to judge himself correctly, and he has fallen into the profit trap. Under the temptation of the profit halo, he can no longer see the loss trap. The loss trap is generally in the dark, while the profit is shining. When investors enter the market with large positions, they will immediately find that there are loss traps everywhere. The good wishes before entering the market are instantly shattered by market fluctuations. He will find that the market is far from being as docile as he imagined. At this time, the desire for profit has become his disaster, and the large number of positions has become a huge burden. The mentality problems caused by improper fund management begin to be exposed.

How to manage funds well? Three points should be noted: 1. Overcoming the most catastrophic situation in the market. When a catastrophic situation occurs in the market, such as the market running in a halted manner, your losses are not enough to affect the continued trading ability of your capital account. This is a special case. 2. Under normal circumstances, you can only make transactions that you can afford to lose, and your losses should be within your tolerance. Therefore, the scale of fund use can be calculated based on your maximum stop loss amount, not the expected profit. 3. The scale of your fund use should be combined with your trading ability. Those with strong trading ability can use a larger proportion of funds, otherwise you will think that your profit is too small and your mentality is not good; investors with poor trading ability should be more cautious, otherwise your losses will exceed your imagination and tolerance, which will make you mentally confused.

Rule 2: Correctly understand losses, this is the most important. Refusing to lose is the root cause of a bad trading mentality! Losses are a normal phenomenon in trading, and losses are inevitable. Profits and losses are like the left and right feet of a person. Successful profits are made up of profits and losses. Profits and losses make up a transaction, and no one can separate the combination of profits and losses. There is no transaction in the market that only has profits or losses. The key to the problem is that most investors treat losses as wrong transactions, thinking that they are wrong if they lose money, and thus constantly require themselves to accurately analyze and predict the market, so as to reduce the number of stop losses.

However, the market is unpredictable. Investors who regard losses as mistakes will never be able to get rid of the fear of market uncertainty. The uncertainty of the market makes investors always in a state of trembling. They are hesitant to enter and exit the market, and stop losses are even more indecisive. Even if the fund management is good, they will not dare to effectively execute the trading plan for fear of making mistakes, thus losing trading opportunities. Professionals know that as long as they focus on ensuring that every step of the transaction (waiting, timing, buying, fund management, selling, etc.) is done correctly, profits will come naturally. Therefore, the final result of one transaction should not be used to determine whether a trading tactic is correct, but the final result of 10 transactions should be used to judge. In fact, traders should remind themselves before each transaction that any success or failure is unimportant in the big picture. This will psychologically help those who spend too much time worrying about the final result of each transaction, which will produce fear, loss of opportunity and ultimately lead to mental disorder. If you are a hundred-dollar bill, it doesn't matter whether someone holds you high above their head or steps on you. You still have your original value, you are still the same value of the banknote, you are still worth that money, everyone will experience failure, but some people can overcome all difficulties, fight more and more bravely, and finally win success; while some people fall in failure and can't get up, and never recover from it, and fall into the quagmire of life. Only people with a good mentality can taste the sweetness after overcoming setbacks or failures. Some people succeed, are in high spirits, and want to fly to the sky; when they fail, they are listless, feel dark, and can only curl up there chewing pain, complaining about the earth and the sky. There is such a saying in Zen: "Good and bad circumstances are all conditions for improvement." Some people only regard good circumstances as opportunities for their growth, maturity and success, but regard bad circumstances as frustration, failure and disaster. He will never complete the transformation from adversity to good circumstances, he will always struggle in adversity, and he will never taste the sweetness after hard work. It is too normal to encounter failure on the road of life; it is natural to encounter setbacks in life!Don't be depressed or pessimistic. As long as you work hard, you will always get the reward. Your mentality determines the bitterness and sweetness of your contract journey.

Life is a journey of forging ahead, and trading is a journey of going against the current. The financial market is a battlefield, where it is either you or me, so when trading, we must recognize the market, recognize ourselves, and trade rationally, otherwise we will be defeated at best, or even destroyed. Understand the first-hand information of the industry, grasp the real-time hot spot tracking, deeply analyze the important news of the industry, pay attention to the crypto weird uncle, and take you into a different