The speeches of the two bigwigs caused a collective dive in the currency circle. When will it stabilize?
Before the start of today's article, Xinhuo will show you the two bigwigs who caused the currency circle to dive collectively.
Yellen: Bitcoin is often used for illegal financing
low efficiency
It is worth noting that U.S. Treasury Secretary Yellen said in her latest speech that digital currency may lead to faster and lower-cost payments, but many issues need to be studied, including consumer protection and money laundering. Bitcoin is often used for illegal financing and is inefficient. Bitcoin is highly speculative and people should be careful.
Du Jun, co-founder of Huobi Group, said: Bitcoin has fallen since yesterday. At present, it seems that the main cause is the views expressed by former US Treasury Secretary Summers. Summers pointed out that the Biden administration's $190 million economic stimulus bill may inject too much cash into the real economy, tempting the economy to exceed its capacity ceiling and trigger inflation, and the Fed may be forced to raise interest rates earlier than market expectations. It closed down, and the decline of U.S. stock index futures also increased significantly. This round of Bitcoin bull market started with the release of water by the global central banks. The market is currently divided on economic easing policies. The later trend depends on the changes in market expectations later. At the same time, it should be noted that Bitcoin is a high-risk financial product, and its price fluctuates greatly. Therefore, investors need to rationally manage their investment according to their own investment philosophy and risk control strategy, treat the Bitcoin market with caution, and respect the market , know ourselves and know each other.
Tesla's "coin speculation" is less than two months
Earnings exceed one year of car manufacturing
Tesla, which made a high-profile announcement this year to buy Bitcoin, has made more than $1 billion. On February 8, Tesla stated in a document submitted to the US Securities and Exchange Commission (SEC) that in January 2021, Tesla had purchased $1.5 billion worth of Bitcoin.
The average price of Bitcoin purchased in January was around $34,000, and the current currency price has soared to $57,000, an increase of 67%. The U.S. dollar has risen to 2.505 billion U.S. dollars, and the floating profit is about 1.005 billion U.S. dollars. That's nearly 30% more than Tesla's 2020 EV revenue of $721 million.
Regarding the behavior of buying Bitcoin, Musk also explained last Friday: "Tesla's actions do not directly reflect my point of view. Bitcoin is a form of liquidity that is not as stupid as cash. Owning some Bitcoin Risky enough for an S&P 500 company."
He went on to add: "To be clear, I'm 'not' an investor, I'm an engineer. I don't even own any publicly traded stocks other than Tesla. However, when real interest on fiat money is negative , only a fool would not consider other forms of investment."
He stated again over the weekend: "Bitcoin's price is a bit too high right now."
Then we saw what the currency circle should look like under the news market.
The above is the reason for this round of collective diving in the currency circle. The entire network has a chicken feather, and the total market contract liquidation is close to 5 billion US dollars. We can’t change what has happened, but Xinhuo will continue to shine, and provide the best advice to those who are still fighting on the front line. Last night, many fans privately asked whether the bull market in the Xinhuo currency circle is over. Huo Tongyi explained that this round of bull market is not over. Xinhuo has mentioned more than once in the previous article that this round of bull market is controlled by institutions, and the bull market controlled by institutions will continue to rise, but the big rise will inevitably be accompanied by a big drop. Or it is more appropriate to call it back stepping. Therefore, a temporary decline proves nothing, and the market will continue to rise. I firmly believe this.
Finally, the old rule, let me tell you about the market. Let’s take Bitcoin, which is the most popular in the currency circle, for example. The difference between the highest point and the lowest point in just two days is 13,000 points. Although the decline is only 20%, the digital Volatility is really awe-inspiring. Next, we need to pay attention to whether Bitcoin can stand firm at 55,000. Note that the fire is talking about stabilizing rather than shocking. It needs to be stable above 55,000 within at least four hours. This time period can be temporarily Set for two days. If it cannot stand firm, then the main force will continue to play hooligans and continue to trigger the last round of diving and pinning. After the market starts to rise slowly, the range will continue to be accompanied by shocks. It is speculated that the salary will last for more than ten trading days. In terms of operation, we can properly replace the short-term with the mid-term for trading. The contract is not a gamble. Xin Huo sincerely recommends that you do not treat the contract as a gamble. If you can short the position in the near future, you can go short. The safety of your own capital is the first element.
