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"Decision-making requires logic, reason, and common sense, not emotions.
——Ray Dalio, founder of Bridgewater Associates: (Principles)

The VIX fear index has remained above 45 for four consecutive days, a phenomenon last seen in October 2008 and March 2020. Such a level of market volatility has caused severe damage to global financial markets.

With the suspension of tariffs and the gradual fading of worst-case concerns, the U.S. stock market has rebounded from the brink. Since last Friday's close, the S&P 500 has ultimately risen by 5.8%.

1. It all started with a sudden deposit of 3.9 million $OM tokens by the @MANTRA Chain team at OKX exchange. This event attracted widespread attention.
2. Reports indicate that the OM team controls about 90% of the total supply of the token. This means that only a few individuals hold most of the control over the token's price. This is already a significant warning sign.
3. Over the past year, there have been some trust issues within the community. Some of the concerns include: the team allegedly using market makers to artificially inflate prices; they quietly changed the economic mechanisms of the token; and they continually postponed promised community airdrops.

"Liquidity is like oxygen, which is imperceptible at ordinary times, but instantly fatal when lost.
——Redd Leo, founder of Bridgewater Associates (Principles)”
   
The stock market has been in trouble recently due to Trump’s trade war and tariff shocks!
The correction in the past 30 days has exceeded 93% of the corrections in the past 5 years! The current correction is as severe as the market crash during the COVID-19 pandemic and the bear market in 2022.
          
The S&P 500 has experienced its biggest drop since March 2020, down 11%. At the same time, the index's 50-day moving average has been trending down and is close to forming a "death cross" - the 50-day moving average falls below the 200-day moving average.

"Liquidity is like oxygen; it is not noticed until it is lost, which can be instantly fatal.
——Ray Dalio, founder of Bridgewater Associates--(Principles)
Principles of Great Works

Trump's car tariff measures have led to a general decline in the stock and crypto markets, exacerbating pessimism about the future economy!
The S&P 500 index is attempting to reclaim the 200-day moving average, which is around $5,700, but has failed to do so. This failure to break through is indeed a very bad sign, and we will be watching to see if the support level can remain stable around the current level.

"Liquidity is like oxygen, which is imperceptible at ordinary times, but instantly fatal when lost.
——Redd Leo, founder of Bridgewater Associates (Principles)”
Principles of famous books

    
As Trump’s tariff remarks in the early morning caused market turmoil, both U.S. stocks and cryptocurrencies experienced a significant pullback, with Bitcoin falling from $88,000 to a low of $86,000.
Currently, the price of Bitcoin continues to be under pressure below the key resistance level of $88,000. The next key support level is the daily 200-day moving average (EMA) of $85,500, which plays a vital supporting role in the market. If Bitcoin can find support at $85,500, it will be a good opportunity to pay attention to.

"The quality of decision-making depends on the information you have and your ability to process that information."
——Bridgewater Associates Founder: Ray Dalio -- (Principles)
Principles: A Classic of Principles

In the early morning, the Federal Reserve held an interest rate decision meeting and decided to keep interest rates unchanged, a decision that was already anticipated by the market. As stated in a previous article (The Federal Reserve Will Not Cut Rates, Trump May Trigger an Economic Recession, Bitcoin Faces a Critical Moment!), the speech by Federal Reserve Chair Powell was the real highlight of this meeting.
He pointed out that quantitative tightening (QT) is expected to end around the second quarter - the Federal Reserve plans to slow down the reduction of its balance sheet starting in April, cutting the monthly redemption cap from $25 billion to $5 billion to slow down the balance sheet reduction.

"The quality of decisions depends on the information you have and your ability to process that information. — Ray Dalio, Founder of Bridgewater Associates — (Principles)"


The new year has brought a new recovery for the cryptocurrency market. Buying interest has begun to flow back, and although Bitcoin's price dropped below $92,000 during the Christmas holidays, it has now rebounded to close to $97,000. The price has rebounded and exceeded the previously mentioned "key level of $97,200 bullish resistance, short-term bullish trend restored."

"The quality of your decisions depends on the information you have and your ability to process it.
——Redd Leo, founder of Bridgewater Associates (Principles)”

On that day, Deribit will see the largest-ever $14 billion Bitcoin options expire, which will trigger volatility in the crypto market after the U.S. stock market opens. Hereby remind all speculators again: Please avoid high-leverage transactions to reduce risks - risk management is always the primary principle!

Over the past eight days, Bitcoin price has been fluctuating between $92,000 and $99,500. Although this price range makes investors nervous, every time the price approaches the support level, it has received strong support, and the effectiveness of the support level may indicate future positive trends.

"The quality of decision-making depends on the information you have and your ability to process that information."

-- Ray Dalio, Founder of Bridgewater Associates -- (Principles)



At the time of writing, the price of Bitcoin is below $100,000, hovering around $98,300. However, as I mentioned in yesterday's article (Christmas, will Bitcoin rise?!): "Low trading volume and market interest may signal an accumulation phase, especially for potential rises in altcoins." Today's Christmas performance of Bitcoin and the crypto market aligns with predictions.

"The quality of decision-making depends on the information you have and your ability to process that information. — Ray Dalio, Founder of Bridgewater Associates -- (Principles)"

The current price of Bitcoin is around $94,800. From a daily perspective, the Bitcoin candlestick pattern is a "bearish engulfing" pattern, indicating a weakening of selling momentum. Ethereum has also successfully found support after experiencing a 17% pullback.
Bitcoin may now be in a region of technical accumulation, even though the current price is above expectations from a few months ago. Low trading volume and market interest may signify an accumulation phase, especially for potential upward moves in altcoins.

"The quality of decisions depends on the information you have and your ability to process that information. — Ray Dalio, Founder of Bridgewater Associates -- (Principles)"

This week, Bitcoin's price fell below $100,000, and I believe this decline is a healthy and effective correction, which is common in a bull market. In past cycles, the crypto market has often experienced significant pullbacks, and these adjustments help to digest the risks of excessive speculation and lay the groundwork for future gains.

The structure of Bitcoin's price trend remains intact, with no substantial changes, still above the trend line, so the previous view is maintained!

The quality of your decision depends on the information you have and your ability to process it. -- Reda Leo, founder of Bridgewater Associates (Principle)

In previous articles, it has been "advised that speculators avoid high-leverage transactions to reduce risks." In the past 24 hours, a total of 428,547 people were liquidated in the cryptocurrency market, with a total liquidation amount of US$1.402 billion!

The Bitcoin spot ETF saw its first daily net outflow in 15 days, reaching $672 million. On the bright side, BlackRock’s spot ETF had no net outflows.

The quality of decision-making depends on the information you possess and your ability to process that information. - Ray Dalio, Founder of Bridgewater Associates - (Principles)

Bitcoin has once again set a new historical high (ATH) of $106,500 in such a short time, with professional financial institutions and investor sentiment towards Bitcoin remaining high.

The acceptance of Bitcoin by financial institutions and major corporations continues to rise, global regulatory policies are maturing, advancements in blockchain technology enhance Bitcoin's utility, and factors such as the halving event potentially leading to supply shortages drive Bitcoin to set new highs repeatedly. Additionally, strong stock market performance, particularly the excellent performance of the Nasdaq index, also supports Bitcoin's rise. Appreciable Chart

The quality of decision-making depends on the information you have and your ability to process that information. - Ray Dalio, Founder of Bridgewater Associates - (Principles)

Bitcoin's price successfully stabilized above $100,000, rebounding after a slight correction, accompanied by $1 billion in liquidations.
At the time of writing, the price of Bitcoin is $102,800. The current effective support level for Bitcoin is between $100,700 and $100,800. If it falls below this support range and continues to stay below this price range, it will expose downside risks.

            
Despite rising prices, some investors remain cautious, leading some to prefer investing in these Bitcoin spot ETFs rather than directly purchasing Bitcoin, resulting in reduced market activity. Currently, Bitcoin spot ETFs hold over 1.1 million Bitcoins, with BlackRock holding 524,000, and it is expected that BlackRock will continue to increase its Bitcoin holdings in the future.

“Change is inevitable, and adapting to change is the key to success. ——Reda Leo, founder of Bridgewater Associates - (Principle)”

 
With the first wave of Grass airdrops, many people have made a lot of money! Some studios and individuals have even received millions or tens of millions of dollars in airdrop rewards through the project’s airdrops. This has helped many people or studios who were planning to give up on airdrops to come back to life and regain their confidence!
Secondly, the Grass project team is trustworthy! Unlike some DePin project parties, they did not sell off their tokens after the tokens were listed on the exchange, madly harvesting people who supported their project construction.

“The quality of your decisions depends on the information you have and your ability to process it.
——Redd Leo, founder of Bridgewater Associates (Principles)”

Bitcoin price has failed to break the psychological $100,000 mark and the price has been falling since yesterday. There was a brief rebound below the effective support level of $94,000, but it failed to reduce the selling pressure. Bitcoin price then fell below $92,000. At the time of writing, Bitcoin price is $92,400!

                   
In the past 24 hours, as long positions were forced to close, the total liquidation amount reached 678 million US dollars, which led to increased selling pressure in the market. Mainly some highly leveraged traders, a total of 219,558 people were liquidated.

"The quality of decision-making depends on the information you have and your ability to process that information.
--- Ray Dalio, founder of Bridgewater Associates -- (Principles)

The price of Bitcoin has recently experienced some volatility, following a rise with subsequent corrections. In the past 24 hours, nearly $334 million was liquidated in the crypto market, affecting about 200,000 traders.

However, it is worth noting that the Bitcoin weekly closing price remains high, with a return rate of about 9.66% last week. With the correction of Bitcoin, its decline in dominance has provided room for other altcoins to rise.