Bitcoin market analysis: Can DeFi enter the market?

Bitcoin once again staged a pin market, and failed to cross $12,000 three times

Yesterday the market was stabbed solidly. In about 5 minutes, it fell from 12,000 US dollars to below 11,500 US dollars, which was another deliberately arranged market.

Recently, everyone opened various blockchain media websites and big V speeches, basically all about DeFi projects and project tokens. This is indeed the case. The recent DeFi is too hot. I took a random screenshot of the DeFi project last night. The currency, the rise is very exaggerated.

But we can understand that some currencies have risen a lot. After all, the market value is relatively small, especially NEST and NAS, which have increased by 30%-50%. Obviously, they have attracted the attention of big funds, and they don’t need too much money to pull them. Come up, especially now that DeFi is getting so much attention.

Some time ago, when the market value of DeFi was only 3-4 billion US dollars (the current overall market value has exceeded 10 billion US dollars), we mentioned that DeFi is very likely to be similar to the ICO in 2017, which triggered another wave of enthusiasm in the market, and even became The drive for the next bull market.

Looking at the current value of tokens locked in DeFi compared with the trend when ICOs were popular in those years, you can feel the obvious similarities. The current DeFi has exceeded 10 billion US dollars, which is already more popular than ICOs in those years.

The differentiation of investors in the current market is already obvious. Some people have been completely stimulated by DeFi, and they look excited at the soaring project tokens. Others are still looking at the mainstream currency that they have always believed in, waiting quietly for the flowers to bloom. Among them, there are many hesitators, whether they want to take the high-speed train of DeFi at this time.

We can also find that these two types of people are just like the tokens in their hands, one in high spirits and gaining momentum. A steady and steady fight, not fast and steady.

What's interesting is that neither side looks down on the other. The latter thinks that the former is just hype and will collapse sooner or later. The former felt that the latter was afraid of being cut off by the market, and was abandoned by the times by guarding a few mainstream coins that did not rise.

This also makes many "old leeks" who only look at mainstream coins start to doubt themselves, whether they really can't keep up with the times? In fact, it’s not that I don’t know which aspects are the current hotspots, but I haven’t seen these so-called hotspots before. ICOs in 2017 and altcoins in recent years, which one is not as crazy as DeFi project tokens? Which one to chase, but I really don't have this idea at the moment, because the previous results are often not so good.

In fact, this is the growth of the so-called "old leek". I have experienced this situation myself, and I understand where other people are excited, but they can still remain calm. You can't explain the reason clearly, but I instinctively think that this current It may not be as good as everyone said, but it’s like we watch the market too much. When and where the position goes, you will feel that something is wrong. That’s called the sense of market. The calmness of the incident may be called "Bijue". (similar to intuition)

Now DeFi is really good, the rise is very gratifying, and the market value is growing very fast. We are also very optimistic about making a fuss around DeFi, but we must be calm when it is time to calm down. In other words, we must abandon the bubble and invest with reference to actual value.

The so-called "new leeks" currently on the market are composed of two parts. One part is the project party or project practitioners who are leading the rhythm, shouting for DeFi, and cooperating with the pull. The other part is the real investors who see the rising price of the currency and are moved by the wind. After they get in the car or pay attention, they also take a firm stand, either start the group ridicule mode, or advocate the value of the currency. If the bubble really collapses in the end, the biggest loss It was also this group of people, but it was this group of people who yelled the loudest at that time.

In fact, there is no such thing as a new leek, which is the transfer of stock funds in the currency circle. If you pay attention to a new project, it is a new leek? Not so.

Perhaps this part of the new leeks thinks that they can keep up with the rhythm of the market in time, but don’t forget that the target of the new project is also this group of people. The most important thing is to follow your own plan and your own expectations. The benefits must be accompanied and proportional to the risks. The higher the benefits, the higher the risks. In the end, no matter what the result is, you can accept it, and you don’t have to pay attention to the words that it will crash sooner or later.

This is especially true for old leeks. In fact, although the current mainstream currency gains are not as good as DeFi project tokens, the recent returns are actually very good, especially for investors who believe in the bull market. On the one hand, block out those voices that you think are worthless. On the other hand, it is rare to be a good teacher to teach newcomers. It is a thankless task. Many things have to be experienced by yourself to know, and only you can be responsible for yourself, and some old leeks just take up the word "old". It's still leeks.

A dynamic market is like this. There are people who develop new things and people who abide by traditions. No one is greater. It is just a good division of labor. The former can give the market more vitality and more possibilities. Necessary elements for market development. The latter is the pinnacle to keep the market stable when the former fails. It always keeps the soil fertile and breeds emerging forces. Both are an integral part of the market.

Going back to the market, after inserting the needle last night, it once returned to above $11,900 when the market opened this morning. Unfortunately, it still did not stand firm and slipped down from above $11,900 again. It has now reached around $11,700, and it will continue to pull back within days.

After looking at the macro market, it is true that gold is making trouble. The current gold price continues to fall, and it has touched the integer mark of 2,000 US dollars at the lowest point. Therefore, the logic we said before that Bitcoin should pay special attention to macro factors this week is obviously still valid.

You can look at the 4-hour level of the market. Since August 2, the market has fallen from 12,100 US dollars to 10,500. It has been in a relatively small and steady upward trend. It can be clearly seen that the high point and the low point are in sync. Elevated.

The overall rhythm is not a big problem. Unless gold really crashes, Bitcoin will at best fluctuate at a high level and adjust. Moreover, there were three times in the near-end time when facing 12,000 US dollars and all fell back. It can be seen that the pressure on this threshold is really high, and it is difficult to break through for a while. , indicating that the strength of the current lower tray is relatively sufficient. Once the influence of macro factors becomes smaller, the optimistic market will go further.

From the perspective of the hourly line level, I really want to thank the 11,500 mark in the near future. In the past five trading days, it has supported at least three waves of market declines, so the first support position during the current pullback is still concerned about 11,500 US dollars.

As for today's market, it is very likely that it is not over yet. The U.S. dollar index is the most active at night. When the U.S. stock market opens, gold may not be so calm, so those who want to buy Bitcoin at present still need to be cautious.

I placed a long order of 11,800 in the group before going to bed last night. Waking up this morning is another day to pick up money. I received multiple orders perfectly, and it’s okay to get a profit of 100 pips... Open as many positions as you have ability, and remember that the position should not be too heavy. I placed an empty order of 11900 in the group this morning, and almost received it. The highest point of the order was near 11880, but I did not receive an empty order.....

The last thing I want to emphasize to everyone is to be in awe of the market, take orders with a good stop loss, and control risks well, otherwise you will lose a lot, and the old leeks know it.

The last thing I want to emphasize to everyone is to be in awe of the market, take orders with a good stop loss, and control risks well, otherwise you will lose a lot, and the old leeks know it.