Around 5 a.m. this morning, the official Twitter account of the SEC posted a message saying that the Bitcoin spot ETF had been approved. The price of BTC instantly broke through the previous high of $47,000. The emergence of this news made those who traded based on the news rush into the market instantly.
Then, five minutes later, SEC Chairman Gary Gensler tweeted that the SEC’s official Twitter account had been hacked and that the news that the Bitcoin spot ETF had been approved was false.
Then BTC fell from $47,857 to $44,545, a drop of nearly 7%. This back-and-forth mistake hurt those players who followed the news to trade contracts and leverage.
Therefore, within the trend, all positive or negative factors are to help the overall trend, and the market trend is the most true reflection.
Everyone is saying that the approval of the ETF is bad news, but judging from the market, there are currently no signs of a big drop. The topics heard most these days are things like reducing positions and going short.
It is right to choose to hold empty positions and wait and see when the trend is unclear, but the current trend is already very obvious. It is a bull market. A breakthrough and pullback is the time to increase positions. How can you reduce positions?
It is correct to do this for short-term and contract trading, but it is not appropriate for long-term spot trading. Otherwise, you can only watch the market rise little by little and miss out on the future market.
The trading systems for short-term, long-term and contracts are different. You cannot rely on one trick to succeed everywhere and think that you can handle all market conditions with just one trick. It will be extremely difficult to break out of the quagmire of the cryptocurrency world with such a mindset.
The market is full of various news every day, which requires us to analyze which information is useful and which is useless. The two most critical information at the moment are the Cancun upgrade and the Bitcoin spot ETF approval event. Both of these information are long-term positive.
Combined with the current bull market trend, these two pieces of information are one of the important pieces of information that promote the arrival of the bull market. In a bear market, every piece of good news is to better trap people, and in a bull market, every piece of bad news is to throw off those who are not determined.
When all the good news comes out, it becomes bad news; when the bad news comes to an end, it becomes good news. These two sentences are very philosophical, but they must be used at the right time. They cannot be used at all times. The result of using them indiscriminately is being trapped and missing out.
Yesterday, as ETH's exchange rate rebounded from the bottom, in addition to driving the LSD and L2 sectors, ETC also pulled up a wave. If you have an ambush below $20, you can also choose to take profits in batches around 22 or above today, and wait for the news of the big cake ETF to land, and then look at the market changes to find new opportunities to participate! After taking profits from MASK, I looked at the trend of MASK again this morning. I can only say that this project is definitely controlled by a strong dealer. When to pull up or smash the market depends entirely on the mood of the dog dealer. Therefore, this type of project can be ambushed as long as it is given a low position. After all, the dealer also needs to ship, so the certainty of their pulling up is also relatively high. It’s just that when we participate in this type of project, remember to rest for a while after the speculation is completed before participating, otherwise you may make a profit at a high position and then take over again halfway up the mountain! You must learn to enter the market at the right time to improve the utilization rate of funds!
Recently, I strongly recommend the ambush series to everyone. The three musketeers of the LSD track have all ushered in a relatively large rebound this morning. LDO, RPL, and SSV can be ambushed to take profits! Secondly, ARB and OP, the two leading projects in the L2 sector, also ushered in a relatively rapid rise in the morning. For this kind of fishtail market, most of them rise rapidly, and then continue to fall. Therefore, when it falls, we ambush. The rapid rise is when we ship. Whether the big cake ETF is really passed or not, I personally expect that it will usher in a relatively long wave of falling wash adjustments. If the market is extreme, it may not be surprising that the big cake will have a single-day amplitude of about 20 points. Then think about other cottages, at least 30 points of amplitude, so when the varieties you ambush are at a high level and have a large profit, it is recommended to lock in the profit and have a good New Year! Don't always think about selling at the highest level.
The news of Bitcoin ETF will be announced soon, and it should be around 5 am tomorrow at the latest. We can also see that many copycat stocks started to rise at this time this morning. Therefore, we can focus on the market changes and news at 5 o'clock tomorrow morning. I will still operate with a small position, buy small when the price drops slightly, and buy more when the price drops sharply. I will place some relatively low orders in advance to take advantage of a wave of spikes in the market!
Finally, there are still many things that are not written down, such as specific opportunities and specific decisions. These things are often not something that can be summarized in one article.
The new year has begun, and we are creating a high-quality circle, which mainly explains various basic industry knowledge of the currency circle, the rotation of hot sectors, the basic methods of identifying tops and bottoms, how to better grasp this bull market, and so on. If you are interested, you can contact me.
