Positive policies to revive market confidence, where is the bottom after the violent rise of BTC?
A piece of news last night detonated the market.
On the afternoon of October 24, the Political Bureau of the Central Committee of the Communist Party of China conducted the eighteenth collective study on the development status and trends of blockchain technology. Xi Jinping, General Secretary of the CPC Central Committee, emphasized when presiding over the study,The integrated application of blockchain technology plays an important role in new technological innovation and industrial transformation. We must take the blockchain as an important breakthrough for independent innovation of core technologies, clarify the main direction of attack, increase investment, focus on overcoming a number of key core technologies, and accelerate the development of blockchain technology and industrial innovation.。
As soon as the news came out, the capital market responded strongly. The BTC market reversed the trend of shrinking after the sharp drop a few days ago, and started a strong rebound. It rose all the way from US$7,400 to US$10,350 this morning, a surge of 35% within 24 hours. Coins and second-tier currencies started to rebound one after another.
The market's reflection reflects the enthusiasm of investors and the market's confidence in the blockchain, but weBe rational while being excited and optimistic。
Overall, this isThe highest-level report on the domestic blockchain in history, with a greatly increased emphasis. The mention of blockchain in various previous policies is actually just a passing mention, and all kinds of news are over-interpreted. andTaking blockchain as the breakthrough point of core technology and innovation reflects the importance and recognition of blockchain technology。
As I said before,At this stage, the biggest problem facing the field of blockchain and cryptocurrency is actually regulation.. Only when regulations and policies are clear can the subjective initiative of practitioners be brought into full play, and if they choose the right direction, more social funds, talents, resources, etc. will flow into the fields related to blockchain technology and promote the healthy and orderly development of the industry.
The importance and recognition of this policy was triggered from top to bottom,Contribute to the real application and ecological construction of blockchain technology. This is exactly the need for the current economic development to move from the virtual to the real, and industrial upgrading and development。
we know,The distributed and non-tamperable characteristics of blockchain technology can create an honest and reliable trust environment, reduce unnecessary third-party intermediary links, optimize traditional transaction settlement processes, improve efficiency and reduce costs. Therefore, relying on the east wind of the policy,Blockchain technology is expected to be applied in many fields such as digital finance, Internet of Things, intelligent manufacturing, supply chain management, digital asset transactions, insurance, etc., to optimize business processes for these fields, reduce operating costs, and improve efficiency and market competitiveness。
The release of policy-related good news can be regarded as heavyweight news in recent months, and market confidence has been greatly boosted. butAs a financial market, it has its own rules of operation. The news will only affect the market for a while. It is fundamentally the result of a long-term game of many factors such as on-site and off-site funds, investor psychology, etc. Therefore, one must not blindly chase highOperation suggestion:
Operation suggestion:
BTC: Stimulated by the good news last night, the situation reversed. BTC started to retain the rebound trend and recovered last week’s decline in one fell swoop, reaching as high as 10,350 US dollars. ).
Judging from the hourly K-line trend,The sudden news obviously disrupted the dealer's plot to suppress the market and buy low, the news was released at 18:00 last night, and the market rose slightly, mainly due to the buying of well-informed or sensitive investors. The pull-up is obviously dominated by the strength of the banker. The big data of futures contracts also confirms this point. The sharp increase in the trading volume of BTC futures contracts and the sharp decrease in open interest occurred from 23:00 to 24:00 in the evening, and then the open interest increased significantly. After 8:00 this morning, the transaction was traded when the market violently rose. The volume increased again. The time difference and the increase or decrease of the futures contract reflect that in the face of the general trend, the dealer is powerless and can only make the best use of the situation and change the long and short positions.
Since the dealer's low buying has not been completed, soIt is necessary to be cautious about the market outlook, and beware of the possibility of market makers controlling the currency price by suppressing the market, or even causing retail investors to panic and sell chips by smashing the market.In the short-term market, the bottom range is 9300-9400 US dollars. If it falls below the range, it means that the dealer is deliberately suppressing the market. The limit point is 9000 US dollars. This point cannot be missed, otherwise it will greatly damage the confidence of retail investors and cause market panic.Only when the market regains a firm foothold at the key point of 10,000 US dollars, will the fourth trend-up of this year come.
ETH: Follow the news to rebound, pay attention to the support of the daily MA60 moving average ($180) in the short term, and continue to hold coins if it does not break.
LTC: The rebound trend is relatively weak. The key point is whether the $60 can be effectively stabilized. If it is not stable, it will continue to fluctuate in the range of $50-60.
BCH: The rebound trend is strong, breaking through the previously mentioned pressure level of 240 US dollars. If the daily line level can stand firmly at 270 US dollars, there is a chance to continue to rebound to the range of 300-340 US dollars.
EOS: Following the rebound, the strong support is at 3.15 US dollars, short-term attention to the support strength in the range of 3.3-3.4 US dollars, if it can stand firm, there is a chance to continue to rebound.
XRP: The weaker currency among the mainstream currencies, although it has returned to the upward trend, the pressure of 0.3 US dollars has not been effectively broken through, and the later stage will continue to wait and see.
TRX: Short-term rebound trend, the daily line level is above the MA90 moving average, and the short-term pressure is at 0.0185 US dollars. If it can be effectively broken through, the upside space will be opened.
ETC: The daily level follows the rebound trend, with strong pressure at $5.4 and support at $4.6.
Platform currency: The overall rebound trend continued, keeping pace with the broader market. BNB hit $20 at one point, but failed to gain a firm foothold. The short-term support was $18; HT hit the pressure level of $3.73 in October, and fell back in the short-term, supporting at $3.5; OKB rebounded strongly and recovered the decline since 9.24. The short-term test of the support strength of 2.64 US dollars, if it can stand firm, there is hope to open up the upside in the future. GT rebounded slightly in the short term, with the upper pressure at $0.6.
Altcoins: Although there is a short-term rebound, the increase is significantly lower than that of BTC and mainstream currencies, which means that the funds in the market are more differentiated, and the short-term attention is weak. Due to the trend of policy factors, we can focus on domestic public chain currencies in the short to medium term, such as NEO, QTUM, BTM, ONT, and NAS, which may have opportunities to explode.
Postscript: I have always advised everyone to wait patiently for the opportunity. On September 24-25, the price of BTC fell below 9300. I mentioned in the article that you can startRegularly invest in BTC to plan the halving market next year, it is recommended that everyone build positions in batches according to every 500 USD drop in BTC; on 10.24, the market plummeted to around 7,400 USD, and once again actively reminded everyone to increase their positions. Although the policy news this time is sudden, but by following my previous fixed investment strategy, I can grasp the profits of this wave of rising profits. In the face of uncertain market trends, avoid blindly chasing ups and downs, or keeping short positions in order to seize the absolute bottom of the market. Instead, you must have a safe strategy and have a certain degree of advance and retreat. I hope everyone can be in the market. Accumulate experience in investment and earn profits.
