The market is experiencing a large amount of panic. Despite Bitcoin's sharp decline, if you look at the ETF, there is still a significant net inflow of funds. What does this indicate?
It indicates that Wall Street views this plunge as an opportunity to enter the market, rather than to exit. Now, Wall Street believes that the risk market's reaction to Wednesday's Federal Reserve actions is "overreacting," and after inflation data improved below expectations, the market is returning to normal. If market sentiment eases, we can look forward to a rebound in altcoins over the weekend. Extremes often reverse, which is applicable in any field. After a short-term excessive panic decline, a short-term rebound power will also emerge.
During this period, there may be some secondary testing of the bottom, but don't be afraid; these are all opportunities to get in.
A bull market often involves sharp declines, leading to more long positions. Meanwhile, shorts take profits during the plunge and switch to long positions, after which a new trend begins.
