BTC started its rally above 103,000. Every time it reaches a new level, the market is ignited by new positive news. With the US-China trade agreement reached, BTC surged to around 105,800. Despite the downgrade of the US credit rating, the Treasury Secretary supported the market and stabilized the situation. Then, the stablecoin legislation and regulatory easing policies were introduced. Even though the 20-year Treasury bond auction dragged US stocks down, BTC created a new high against the trend.
This is thanks to BTC's unique positioning beyond sovereignty, which can be described as a 'structural rise' in asset reallocation.
However, the positive news is more of an emotional push. The stablecoin legislation may attract large funds to enter, but it is difficult to bring sustained capital flow in the short term, and the speculation about interest rate cuts has not yet started.
Yesterday, Trump's actions caused a sharp decline in market sentiment, making the altcoin market, which is sensitive to liquidity, more cautious, and the willingness of speculators to pump prices weakened. However, BTC is still likely to rebound, but the rebound may be limited. As mentioned earlier, the expectation of interest rate cuts has not heated up, and hot money is reluctant to enter the market rashly. Only listed companies are brave enough to lay out their positions, and they are only targeting Bitcoin, not altcoins.
The current trend has not changed yet, and the situation of more ups than downs may continue for a while. First, the decline is limited and lacks continuity, and there hasn't been a situation of continuous decline until a crash happens, which means the upward trend has not been broken!
The resistance level for ETH is 2700-2800, and we need to see if there are any narrative ecological benefits to stimulate the price; otherwise, it will still lag behind Bitcoin and will not be able to form an independent market trend.
This weekend is a holiday, and next Monday the US stock market will be closed, meaning that liquidity may be generally poor for three consecutive days. There's a Bitcoin conference next week, and it happens to coincide with the end of the month. Trump's tariffs have added uncertainty. You can continue holding your positions, but be sure to set stop-losses. Whether it's spot or futures, make sure to set them well, and don't add to your remaining positions; at least wait until the US stock market opens normally again.
Even for someone like Liangxi, who has unlimited bullets, losing tens of millions of dollars in contracts is equivalent to hundreds of millions of RMB. A listed company might not even earn that much in a year. This money is enough for many people for a lifetime, but this industry has distorted the capital!
It makes people feel excited and crazy, especially with contracts. If you don't have a particularly good mindset, it's hard to manage. You can only play a little without affecting your life. I've seen too many people gain and lose in this industry. Remember to withdraw and cash out after making a profit, and know when to stop.
It sounds particularly easy to say, but it's very hard to actually do. When you enter this circle, seeing others make money with contracts every day, you feel like you can too, and you can't help but take a gamble. That's fine until you can't stop. You get addicted, and the final outcome is predictable!
That's all I want to share with you today. I'm July, and you can follow my daily article updates!
The lone traveler moves quickly, while the crowd goes far! Everyone is welcome to follow and discuss the market together!
