Comparison of Trends Before and After Interest Rate Cuts:
Before September 18th last year
#BTC was in a volatile market
At one point, the low reached 49,000
Later, on September 18th, the day of the interest rate cut, it returned to 61,700
Subsequently, it broke through to new highs with strong bullish momentum
Until December 18th, the day of another interest rate cut
The highest reached 106,500, then it began to plummet
After hitting a low of 89,000, the market rallied twice
Until January 20th when it formed a double top at 110,000
Then it continued to oscillate downwards for nearly 3 months until it bottomed out at 74,500 on April 7th this year
Currently this year, the interest rate cut in September is 100% certain
The market has already broken through to new highs
It has started to trend based on interest rate cut expectations
I have experienced several bull markets before
Once it starts to break through the previous major top
Along with the phase of interest rate cuts
It will continuously exhibit a strong upward trend
When the interest rate was cut on September 18th last year, there were no new highs
Yet this year, with 2 months remaining until the interest rate cut, it has already achieved a new high
I believe this may be related to many similar 'micro-strategy' institutions entering this year
This year, dozens of institutions have announced their entry to purchase various cryptocurrencies
This represents a massive influx of capital
Regardless of whether the interest rate cut in September is a peak
At least before the interest rate cut in September
Currently, there is a clear strong bullish trend
In this nearly 2-month period, one must dare to take large positions to go long
Fully capitalize on the rare trend profits
Previously, I had been shorting the junk altcoins at highs
That was due to the volatile market
However, recently I've clearly felt that even shorting junk altcoins is very challenging
This situation only occurs in strong trend markets after breaking new highs
So I decided to timely adjust my strategy
I cut losses on the short position for altcoins with a small loss of 3%
And temporarily will not short junk altcoins
Only go long on Bitcoin at lows
When September peaks, I will short junk altcoins again
Trading is like this, there is no perfect strategy; when a strategy is effective, go all-in, when it is ineffective, just survive for now, adjust in time, only by having an objective understanding of the large market trends, and a full understanding of one's own model, knowing where one's ability lies, and what strategies suit the current market, one should implement those strategies. I believe new highs will be reached soon!
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