CPI Data Release Tonight: Will the Crypto Market See Another Shakeout?Introduction:Tonight, the highly anticipated CPI data will be released, once again becoming a major indicator for the cryptocurrency market. Historically, every release of CPI data has led to volatile market movements, with bulls and bears engaging in fierce battles
CPI Data Release Tonight: Will the Crypto Market See Another Shakeout?
Introduction:
Tonight, the highly anticipated CPI data will be released, once again becoming a major indicator for the cryptocurrency market. Historically, every release of CPI data has led to volatile market movements, with bulls and bears engaging in fierce battles. The outcome often breaks the previous range-bound pattern and sets a new trend. Therefore, it is crucial to exercise caution before the data is released, reduce leverage, and avoid getting caught in the market fluctuations.
I. Risks and Opportunities in the Bull Market:
This bull market came unexpectedly, like a sudden awakening from a dream. However, rapid growth also means higher risks, like jumping out of bed too quickly, which can cause dizziness or even a fall. In the crypto world, only those who are unafraid of death and embrace it can laugh in the face of adversity and survive.
II. Market Overview:
1. Pullback and Fibonacci:
If we consider the correction from 73777 to the present as a retracement of the rally since 24901, then the current pullback has completed 0.382 of the Fibonacci retracement level of this rally. The weekly RSI indicator also stands at 48, indicating a relatively weak market.
2. Multiple Possibilities:
If we consider the correction from 73777 to the present as a retracement of the rally since 15476, then the Fibonacci retracement levels for this pullback are around 51500 for 0.382 and 44600 for 0.5. From the RSI perspective, the current indicator is near the starting point, suggesting the possibility of a rebound.
3. Analysis of the Correction Wave:
The correction wave from 73777 to the present may present as a WXY or an unknown WXYXZ pattern, currently in the third part of this wave. The first part was from 73777 to 56553, the second was from 56553 to 71997, and the third is from 71993 to the present. After the third part is complete, the market will face two possibilities: one is to enter a new bullish wave, and the other is to continue correcting and go through the fourth and fifth parts.
4. Resistance Levels and Breakouts:
During a rebound, the market will face two important resistance levels: one around 60000 and the other around 66500. Breaking the first resistance level suggests a continuation of the rebound and the possibility of a reversal. Breaking the second resistance level increases the probability of directly entering a bullish wave. The specific situation will need to be observed during the upward wave.
5. Exchange Rate Trend:
Since March 2023, the E/B exchange rate weekly MACD indicator has been below the 0 axis and is approaching the 0 axis now. From the indicator perspective, the E/B exchange rate is expected to break the downtrend, which means the value of B/E is enhanced, benefiting B's valuation increase.
6. Bull-Bear Conversion:
The B/E cycle is long, surging upwards when bullish and plunging downwards when bearish. The root cause of losing money is deep involvement in the correction wave, and the root cause of not making money is using the correction wave strategy to deal with the bullish wave. Success comes from the bull market bonus, while failure stems from bull-bear conversion.
III. ETH and PEPE:
1. Short-Term ETH Trend:
ETH has started to shrink in volume at a smaller scale. The 4-hour level is about to form a bearish crossover at a high point, and there may be a downward retracement in the short term. Pay attention to the 3k support line; if it doesn't break, there is still a chance for an upward trend.
2. PEPE Hot Topic:
PEPE, as a recent hot coin, was knocked back down after touching the upper edge of the triangle at a smaller scale. Although it was expected to break through directly, currently, it's advisable to wait for a pullback around 0.0090 for buying opportunities. As long as it doesn't break below 0.0085, it shouldn't be a major issue.
IV. TRX Potential:
TRX is worth watching. On the one hand, SBF has tweeted in support of it, and on the other hand, TRX didn't fall along with Bitcoin's overall decline, now trading around 0.13. It's suggested to allocate 10-20% of your position for observation.
V. Summary:
With CPI data released tonight, the crypto market will see another shakeout. Whether the market goes up or down, rational analysis is needed to avoid emotional trading. Lowering leverage and exercising caution are vital to staying on top in the market.
VI. Risk Notice:
Cryptocurrency investment involves significant risks. Before investing, be sure to perform risk assessments, understand your risk tolerance, and manage your funds appropriately. This article is for reference only and does not constitute investment advice.
VII. Disclaimer:
The content of this article is for reference only and does not constitute investment advice. Investing involves risk, and caution should be exercised when entering the market.
Disclaimer: The content of this article is sourced from the internet. The copyright of the text, images, and other materials belongs to the original author. The platform reprints the materials for the purpose of conveying more information. The content of the article is for reference and learning only, and should not be used for commercial purposes. If it infringes on your legitimate rights and interests, please contact us promptly and we will handle it as soon as possible! We respect copyright and are committed to protecting it. Thank you for sharing.(Email:[email protected])
