Presumably in the past few days, everyone has looked at the rise list of altcoins and began to doubt life again. Many junk coins have begun to skyrocket. Some friends asked me, what is the value of Dogecoin (doge), what is the value of Shiba Inucoin (shib), and how In the past few days, it has been rising steadily, not talking about Wude at all.This makes it difficult for me to answer. Dogecoin needs technology but no technological innovation, let alone value. Its birth is a joke made by some technicians, but now it has surpassed Tether and ranked fourth among digital currencies. Its market capitalization exceeds that of established financial institutions such as ING, Barclays and Credit Agricole.
Now in addition to Dogecoin, there is also a Shiba Inucoin with a circulation of 1000 trillion, which is also magically skyrocketing (it has dropped a lot today), and it has begun to have its own ecology. SHIB is just a governance token, and LEASH is a stable token. Bone is the decentralized finance token of the ShibaSwap exchange, and ART is the NFT token, which looks a bit magical.
The explosion of Dogecoin and Shiba Inucoin is largely due to the demand from Musk, the leader of the currency circle, and the unit price is cheap. Shiba Inucoin can directly buy hundreds of millions of tokens for 2,000 yuan, and leeks can also be bought immediately. With the sense of superiority of the big family.Of course, in addition to the leeks following the trend and buying a little with the mentality of playing tickets, the more important reason is as analyst David said:
"The rise of Dogecoin is a classic example of the 'biggest idiot theory'. People buy Dogecoin, not because they think it has any meaning or value, but because they hope others will flood in, pushing price, and then they can take advantage of the opportunity to sell and make a quick buck.”
Dogecoin is like the grassroots of the currency circle. The consensus formation of retail investors has been strengthened in this round of skyrocketing. Yesterday, Snickers released Dogecoin-packed chocolates. Acker, the world's largest rare wine auction house, and the Dallas Mavericks. Starting to accept Dogecoin, anything can happen in the currency circle. Don’t be too surprised that Dogecoin will become popular among ordinary people before Bitcoin. After all, the unit price of Dogecoin is more affordable.
There is also a #DogeDay420 hashtag that has taken over Twitter and Reddit. The crypto community tried to make April 20th an international celebration of DOGE by pushing Dogecoin to $0.69, which of course never came to fruition. This reminds me of the retail investors' war against Wall Street some time ago.Why did Musk call for BTC? I'm afraid it's really a curve to save the country, use the more friendly Dogecoin to attract leeks, and then fall in love with BTC.On the one hand, there is a skyrocketing Dogecoin, and on the other hand, the liquidation caused by the deep correction of the market. This time, the liquidation has set a historical record.On the morning of April 18, cryptocurrencies suffered a cliff-like plunge. Bitcoin fell from $56,000 to below $51,000 in 15 minutes, which was the largest short-term plunge this year and even in history. The crypto market liquidated $7.6 billion in one hour. Then after experiencing a brief rebound yesterday, it still lacks motivation.People can't help but wonder if the bull market is still there?Since the second half of last year, the popularity of cryptocurrencies has continued to rise, and new leeks have continued to pour in. All sectors of cryptocurrencies have experienced a rotating surge. Many people have been numb by the rise. more.This time the slump washed away a lot of troops, and then used the callback to educate the new entrants. For cryptocurrency holders, this slump may be a benign market adjustment that is conducive to long-term development.Before this plunge, the market was already too greedy. ETH continued to set record highs, and market leverage increased significantly. According to data from The Block Research, the open interest of Ethereum options hit a record high on Thursday, reaching 3.57 billion U.S. dollars, while At the beginning of the year, this figure was US$755 million, an increase of nearly 400% in just a few months.Why plummeted? We found many reasons.The first is the listing of coinbase. As the first listed digital currency exchange, the coinbase effect has led to a violent rise in the entire market, especially the old mainstream coins have increased by more than 20%, but all the benefits are bad, plus It was reported that the shareholders of Coinbase sold their shares. In fact, the rumors were later refuted because the listing of Coinbase did not issue new shares. If shareholders want to buy its shares, they can only sell them through the existing shares of shareholders. Therefore, this kind of selling is necessary, but the market It doesn't matter so much, it should fall or fall.Then there is the ban on bitcoin payments in Türkiye.Then, on April 18, the Financial Associated Press announced that there was news that the U.S. Treasury Department would accuse several financial institutions of using cryptocurrencies for money laundering.Human nature always likes to look back to find rationality after things happen, but in the end there is only one reason, the car in this financial game is a bit heavy, and the warehouse needs to be cleared.Do I firmly believe that the bull market is still there? No, for me, I also feel a bit of the coolness of the end of the bull market.In fact, I can't fully assert that whether the bull market is still there still needs to be observed. After all, it is a rare situation for Bitcoin’s daily line to pierce the MA60. It has not happened in the past few months. If it continues to operate below the MA60 daily line, coupled with the formation of a dead cross at the weekly level, it is really hard to say up.But on the one hand, the technical line of this round of bull market is really out of order in many cases. On the other hand, even the technical line seems to be sending cautious and optimistic signals. It's not operating below, just to give everyone something to think about, and at the same time scare away leeks. This is the most appropriate explanation I think.In addition to these negative factors, we must also see that those mainstream institutions have not stopped entering the market, and there are applications for ETFs from crypto institutions in various countries. Now the Canadian Bitcoin ETF has been approved and currently holds more than 17,000 BTC It is only a matter of time before the US Bitcoin ETF is passed, and the currency circle has been seeking a greater way to break the circle.In the face of the crazy market, while cooling down, we should see that digital currencies are still developing rapidly. Dogecoin and Shiba Inucoin can reach zhe moon, and other real value coins should have another wave of speculation in their value.In addition, we can see from the HODL index that the trend of Bitcoin is generally healthy, because if there is no pullback, it will really peak.
This indicator shows that red means entering the market, and the time has come for blue to basically run away, because it is about to reach the top. At that time, when BTC was around 64,000 US dollars, if it did not fall, it would really turn blue.Therefore, logically, Bitcoin is to go for a longer time, maybe it is the dealer's intentional callback, and there are too many profit takings, so it has to follow the wave.In addition, the long-term hibernating holder (155 days) maintains an upward trend, indicating confidence in long-term holding. The addresses of 0.1 bitcoins of retail investors continue to increase, with a mass base of more than 3 million, while institutions have entered the market this year, worth $1M The bitcoin address of usd has increased sharply this year, which should also be regarded as a signal of consensus belief.Compared with the situation in 2017, it is now the middle of the bull market. Even if it is the worst, this round of bull market has come to the last few months. Hasn't the crazy and irrational rise not yet come?A practical financial writer who went from having nothing to a real "get" will accompany you on the road to wealth and freedomAuthor: V Ke Baiyuan, principal of [Blockchain Thinking]
A practical financial writer who went from having nothing to a real "get" will accompany you on the road to wealth and freedom
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