V-shaped reversal after Bitcoin shortfall, cryptocurrency market rebounds across the board
After Bitcoin hit a new low last night, it immediately pulled an inverted V backhand. It seems that the bottom of last night is more like the market is trying to lure the market, just for the subsequent pull.
After the performance of the market in the past few days, everyone still cannot ignore the role of the panic index. Since April 21, the panic and greed index has continued to decline. From April 21 to April 26, the panic index was 73/65/55 respectively /37/31/27, the closer the number is to 100, the more greedy, and the closer to 0, the more greedy. The panic and greed index represents the market sentiment to a certain extent, and it also profoundly deduces what it means when others panic Greed, I panic when others are greedy, which can be used as an indicator of market sentiment in the future.
Let’s look at the most real data on the chain. The data shows that since April, the number of users on the Bitcoin chain has grown explosively. There are almost 60,000 new users every day. It can be seen that the current enthusiasm for Bitcoin in the market seems to be unstoppable.
The recent data performance on Ethereum is also quite good. EthHub co-founder Anthony Sassano tweeted that according to Glassnode data, the number of active addresses on Ethereum is at a historical high, about 665,000 (based on a 7-day moving average).
On the other hand, the total value of Ethereum pledged on ETH 2.0 continued its upward trend in 2021, reaching yet another new high.
And most importantly, the gas fee on the ETH chain has begun to drop sharply recently. Just a few days ago, the USD on-chain transaction fee of Ethereum soared to the second highest level in Bitcoin history a few days ago. Internet spending hit $47.3 million a day, approaching the February 21 peak of $48 million. According to the current data, the average Gas fee of Ethereum has dropped to the lowest point since the beginning of 2021 (42 Gwei).
The main reason for the reduction of Ethereum gas fees is that the Layer 2 solution we are most concerned about is being gradually implemented, and this situation will gradually get better in the next few months.
What does the reduced Ethereum Gas fee mean? It means that the popularity of DeFi is expected to come back again.
According to defillama data, the current lock-up volume in the DeFi field exceeds 110 billion US dollars, and there are 26 projects with more than 1 billion US dollars. There are 19 from the Ethereum ecosystem, of which MakerDAO has the largest locked position, with 9.5 billion US dollars. There are 4 from BSC, among which the largest locked position is pancakeswap, with a locked position of more than 7.9 billion US dollars.
During the period of soaring gas fees on Ethereum, the Pancakeswap data on BSC has surpassed Uniswap on ETH in all aspects, and with the reduction of Gas fees on ETH, it is time for DeFi on ETH to start to fight back. For a month, the performance of DeFi on ETH was relatively mediocre. In the past two days, as the price of ETH rose, Uni also started a relatively strong rebound. This seems to be a signal.
All in all, while looking forward to the re-emergence of ETH, we also hope that when the popularity of DeFi returns again, it will not be crowded when there are too many people, otherwise there may be troubles again. If the popularity of DeFi rises again, it will be the first A head-to-head confrontation with BSC.
Going back to the market, it can be further confirmed by today’s daytime trend. The new low last night was a shortfall, otherwise it would be impossible to go up without looking back like now. When the market was at its highest in the afternoon, it happened to hit 53,000 US dollars. Rest time, but on the whole, the rebound force of this wave is very strong.
We said yesterday that this wave of adjustments is a weekly level adjustment, and last week it fell for almost a whole week, and in the new week it directly pulled up the barefoot Yang line. It is unexpected that the attitude changed so quickly, but even In the face of such a market, we should also remind everyone to pay attention to the possible "reverse killing" in the market.
The current situation on the board is that there are no professional titles below the weekly level for the time being, Boll is not far from the middle rail, but he pulled up without stepping back, and Macd is in the form of a dead fork, and it may still be It's a rebound, not a reversal.
At the daily line level, it finally rebounded along the lower track, and the MACD red column also began to shorten. For the height of the current rebound, first pay attention to the middle track of BoLL. At that time, the MACD will roughly reach the 0 axis.
Regardless of whether it is a reversal or a rebound in the short term, in the long run, we are all looking at the upward trend. According to our current strategy of increasing positions in batches, it is not affected by the short-term market. If it is only a rebound, maybe later There is also the opportunity to increase positions. As for the contract, it has nothing to do with reversal or rebound. Like last night, it directly hit a new low and then pulled the market. When I woke up in the morning, the price rose, but the position was already gone.
Pay attention to whether the market can stand above 53,000 US dollars in the day, and pay attention to 51,000 US dollars for the lower support level.
ETH: There is nothing to say in the near future. The recent overall decline in the market can be regarded as a hindrance to the outbreak of ETH, but if the popularity of Bitcoin does not fall, the gas fee of ETH will not drop so fast. There are pros and cons, but the overall situation is still improving.
Platform currency: The factors affecting the currency price of the current platform currency are very direct, see the chain. In the past two days, BNB was driven by Cake and was able to maintain a high level. However, HECO’s current movement is getting smaller and smaller, and its reputation is getting worse and worse. It is difficult to give positive feedback to HT. There is no need to mention OK. The latter two coins At present, it mainly depends on the face of BNB.
DeFi: Needless to say, ETH’s DeFi projects are now slowly lurking, especially DEX, including Uni, sushi, and Crv. Recently, you can also pay attention to AAVE. It seems to be engaged in liquidity mining. A wave of market.
In addition, BSC’s DeFi project token cake has also risen quite fiercely recently, almost against the trend. According to the current rivalry between BSC and ETH, Cake’s benchmark is Uni, and there is still a lot of room for development in the future.
DOT: Recently, it seems that some projects have IDO on Polkadot, but the sound seems not to be loud. We still have to wait for a cycle of fluctuations. If the position is too heavy for hauler, you can consider changing the position to DeFi. At present, the DeFi cycle is coming. Time may be faster than DOT.
