Recently, the cryptocurrency market has experienced severe price turbulence, particularly Bitcoin, whose price once broke through the significant psychological barrier of $100,000, attracting great attention from the market. However, behind this seemingly prosperous facade lies a huge investment risk. Just last night, Bitcoin's price experienced extreme volatility, with a drop close to 10,000 points, leaving many investors surprised and shocked when they woke up in the morning.
It is estimated that this price fluctuation has resulted in billions being forcibly liquidated, which again reminds us of the uncertainty and risks in the market. In yesterday's market analysis, we predicted that market fluctuations could intensify and advised investors to consider entering the market only when the price of Ethereum falls below $3,700.
In fact, the risks in the market are not only reflected in price declines; the rapid rise of Bitcoin has also caught many investors off guard, resulting in losses. Such extreme market fluctuations are often the result of manipulation by large institutions and operators. The sharp drop last night followed by a quick recovery is a typical manifestation of this manipulation. At the current price level, the market can experience fluctuations of thousands or even tens of thousands of points at any time, making it increasingly difficult for ordinary retail investors to grasp the market trends. When prices rise, people tend to be overly optimistic, while during price declines, they become pessimistic and silent. Given the current market conditions, we advise investors to consider entering the market only after it stabilizes. We will closely monitor market dynamics and continue to provide analysis and insights to help investors make more informed decisions. Lastly, we emphasize again that regardless of whether you currently have a short position or a full position, you should take appropriate risk management measures. Last night's market fluctuations are a vivid example that reminds us of the importance of stop-loss measures. Please keep this in mind to protect your investment.