Market downturn is far from over, going long feels like slaughtering a dog

In intraday trading, the mainstream market faced another setback, still triggered by a series of chain reactions from the bybit Ethereum theft incident. Coincidentally, the new series of actions involving the SEC continues to bring negative impacts to the cryptocurrency market.

okx officially settles with the SEC and pays a hefty fine

Today, okx's Seychelles subsidiary reached a settlement with the SEC regarding a certain investigation, acknowledging certain deficiencies in compliance control during past operations, agreeing to pay up to $84 million in fines, and forfeiting approximately $421 million in earnings from its U.S. users. Although this represents another capitulation of cryptocurrency before official scrutiny, clear-eyed observers should see the implications; perhaps the so-called "compliance" and "regulation" could bring newer and greater effects to cryptocurrency, but the interim pains still hang over us like the sword of Damocles.

Reflecting reality, selling remains the main theme

Why did Limu say the main tone for Q1 is bearish? First, regarding a series of actions related to Trump, the impact of which I won’t elaborate on here. To be reborn one must undergo a nirvana; thus, the first thing to address upon taking office surely won't be about the fulfillment of the "crypto promises" made previously but should rather focus on forging and solidifying. And what do all these measures require? It's 💰! Similarly, do those in the primary market not also need it? If so, isn’t it easier to understand?

Looking back at the market, Bitcoin's midday decline broke through the previous low to the 90,800 line. Although it seems to provide buying support in the short term, the oscillation structure of the range has been disrupted, leading to a continuation of the bearish trend in the medium term. Therefore, the support to watch in the future is definitely around 86,000 - 88,000, while also monitoring the support situation; if further breaches occur, it may test the 80,000 trend line support.

The same applies to Ethereum; prioritize monitoring support around 2,400; if it fails to hold, focus on bullish trades around the 2,200 trend line.