In the past 24 hours, the crypto market experienced significant volatility. Affected by the negative impact of the latest PPI data from the U.S., Bitcoin (BTC) fell over $7,000 from a high of $124,500, briefly touching a low of $117,180, and is currently in a phase of oversold rebound. Ethereum (ETH) also faced pressure, plummeting over 200 points from $4,788, falling to a minimum of $4,451, and is currently oscillating around $4,600.
According to statistics, a total of 221,631 people were liquidated globally in the past day, with a total liquidation amount reaching $1.019 billion.
The five main reasons for the market decline
PPI data higher than expected → Reduced the possibility of a rate cut in September
U.S. initial jobless claims lower than expected → Puts pressure on risk assets
U.S. stocks opened lower → Led to a simultaneous decline in the crypto market
Net outflow of $293 million from the U.S. spot Bitcoin ETF → Ending six consecutive days of net inflow
After Bitcoin hit an all-time high, profit-taking concentrated selling → Accelerated price decline
Snapshot of major coin market
BTC/ETH
First focus on around 116500, this position is the liquidation point and also the CME Bitcoin gap.
The end of a major upward wave requires a prolonged high-frequency oscillation in the top area. The current pullback is merely a test of support, which does not affect the overall trend moving forward.
This test of support should have been done on Monday, but it has been delayed for a few extra days. The overall adjustment will still proceed, with the main upward wave entry position around 117500-118000.
Despite experiencing a sharp pullback, the overall trend remains bullish. On the 4-hour timeframe, ETH accurately pulled back to MA30 after a surge, forming a 'double bottom' pattern, accompanied by signs of active bottom-fishing, and is expected to challenge the $4,800 resistance level again in the short term. This round of pullback appears more like a washout than a trend reversal.
BNB
Yesterday set a new high, getting closer to the $1,000 round number, and the bull market rhythm remains clear.
DOGE
The 4-hour chart has formed a bottoming pattern, with a high probability of breaking through to $0.28.
Other altcoins
UNI, OP, RSR, etc. are still worth holding, with the expectation of recording an increase of over 50% before September.
Three major cryptocurrencies worth paying attention to
OP - A hardcore catalyst for the L2 track
Recently, OP has received good news: Coinbase and Optimism have partnered to launch the L2 network Base, and some transaction fees will flow directly back to the OP treasury. This not only solidifies OP's position as the 'first EVM-compatible Optimistic Rollup solution' but also gives it sustainable revenue-generating capability. Technically, a bullish engulfing pattern has emerged on the weekly chart, breaking the downtrend, and a golden cross with volume has appeared on the daily chart, allowing for batch positioning.
SSV - Core infrastructure for Ethereum staking
As the only implementer of DVT technology, SSV is the 'water, electricity, and gas' of the Ethereum staking network. The total supply of tokens is limited (11.01 million, with 10 million in circulation), possessing deflationary attributes. The price has dropped from $66 to $4.26, after more than a year of bottoming out, and the weekly chart has broken a long-term downtrend, with the neckline at $12, and the daily chart shows a healthy pullback, making the $7.48-$6.4 range suitable for gradual entry.
PEPE - A meme potential stock yet to be activated
PEPE has strong resilience against declines in meme coins, with low holding costs and heavy positions. Once the market sentiment starts, a daily increase of 40 to 50 points is not difficult. It is recommended that heavy holders take profits in batches at 1400 and 1632, patiently waiting for the market to start.
Conclusion
Although the market experienced a rapid pullback due to macro data in the short term, the bullish rhythm has not been broken from a structural perspective. Once Bitcoin stabilizes, the $120,000 level may again become a target for bulls, and the altcoin sector may see a surge in catch-up.
